Collection Agency Demand Letter

Collection   agencies send demand letters to debtors to recover past due account receivables. A collection agency may send a series of demand letters seeking to collect money due and owing for their client. A demand letter sets forth the collection agencies authority to represent a creditor and the amount the collection claims is due and owing on behalf the creditor.

Collection Agencies Are Limited in the Scope of the Debt Collection  Services the Collection Agency Can Provide

Creditors need to recognize that collection agencies are limited in their ability to effective represent a client in that the collection agency does not hold a license to practice law.  Effective recovery of a past due account may sometimes require the filing of a lawsuit to make the debtor come to the table and pay the past due account.  Collection agencies also need to refer cases to debt collection attorneys. When the collection action has to refer the matter to a collection lawyer they typically charge the creditor a higher contingency fee.

Flat Fee Attorney Demand Letter for Payment

Our debt collection law firm has started a flat fee demand letter service that creditors may wish to consider before obligating their company to paying contingent fees upon collection.  Just like a collection agency our debt collection lawyers will draft an attorney demand letter seeking payment of the overdue account. Because the demand for payment is coming from a collection attorney rather than a commercial collection agency, the likelihood that the debtor will take the demand for payment more seriously increases.

 You May Save Money Using a Collection Lawyer

Because your account would already be with debt collection attorneys, if litigation was truly required to liquidate the past due account, there would be no need to forward the debt collection claim from a collection agency to our commercial collection law firm.  Your company would not to pay a higher contingent collection rate to the collection agency thus, saving your company money upon the recovery of your money.

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