How We Work

The American Collections Way

A collection agency is a business that helps individuals and businesses recover unpaid debts. Here is a general overview of how a collection agency works:

Hiring a collection agency: A creditor (the individual or business to whom the debt is owed) can hire a collection agency to help recover an unpaid debt. The creditor provides the collection agency with information about the debtor (the individual or business that owes the debt) and the debt, including the amount owed and any relevant documentation. The creditor may also agree to pay the collection agency a fee, which is typically a percentage of the amount recovered. Contacting the debtor: The collection agency will then attempt to contact the debtor to inform them that the debt is being handled by the agency and to request payment. This may be done through phone calls, letters, or other methods of communication. Negotiating payment: If the debtor is willing to pay the debt, the collection agency may negotiate a payment plan or settlement. If the debtor is unable or unwilling to pay the full amount, the collection agency may try to negotiate a partial payment or offer to waive some of the debt in exchange for a lump sum payment. Legal action: If the debtor refuses to pay the debt or does not respond to the collection agency's attempts to collect it, the agency may take legal action, such as suing the debtor or garnishing their wages. It's important to note that collections agencies are regulated by federal and state laws and are required to follow certain guidelines when collecting debts. This may include restrictions on the methods they can use to contact debtors, the information they can disclose about the debt, and the fees they can charge.

The Commercial Debt Collection Process:

Before you call, you’ll probably want to know how much a professional debt collector will cost. Typically our fees range from 10 percent to 25 percent of the money we collect. If we don’t recover, you don’t pay — simple as that.

STEP #1

Give us a call to discuss your situation. If your claim is qualified for our services, we will provide a written estimate. If we can’t help you, we will refer you to a well-suited colleague in the Kaplan Referral Network.

After an initial consultation, a seasoned debt collector will personally manage the case, calling upon our network of industry specialists for strategic counsel as needed. On average, our debt collectors have a decade or more of commercial collections experience.

STEP #2

Your project lead will listen to your detailed side of the story and review your contract or sales agreement.

We will research the client or customer in question, including your documented correspondence before, during and after the transaction. Next, we will investigate the customer’s company to identify everyone within the chain of approval for accounts payable.

The Kaplan Group’s commercial debt collectors understand how businesses work because they worked in business prior to becoming debt collectors. This strategic advantage sets us apart from typical collection agencies. We understand the politics, logistics and pressures that are faced by the people who control the money we want to collect. We also fully understand contracts of all types, including sales orders, purchase orders, invoices, return merchandise authorizations, pricing discounts, sales tax laws, itemized freight and shipping charges, returns and return policies, and common general contract terms.

STEP #3

Next, your team will customize a plan to recover your money. The Kaplan Group does not make specific tactics public to maintain our strategic advantage but we’ll fully explain our strategy to our clients before we execute the plan. We anticipate hearing the same excuses you may have heard right off the bat. We’ve heard it all before and have proven strategies to get beyond the excuses to the truth and beyond the truth to repayment.