FAQ

Why use a collection agency?

Debtors will often pay a collection agency even though they never cooperated with the original creditor, mainly because collection agencies typically increase the psychological anxiety associated with a debt. Second, the debtor will understand that time is running out on avoiding payment and that the creditor is serious about recovering what is owed to them. Also, many debtors are wary of the impact that a collection account can have on their credit score.

When should I place an account for collection?

The age of a delinquent account is one of the biggest factors in determining whether or not a debt gets paid. The older the debt, the harder it is to collect. A rule of thumb to remember is that after three months the probability is that you will only collect $.73 of each dollar delinquent…after six months, only about $.54 of every dollar...and after one year, the best expectation is that only about $.26 of every delinquent dollar will be collected. The best time to enlist the services of a collection agency is 60-90 days of the invoice due date. Incorporating this strategy will help ensure maximum recoveries with the least cost to your company.

My company is very customer oriented. Can you collect without damaging goodwill or jeopardizing future relationships with our customers?

Yes, we can. At RSD, we adopt a professional, business-like approach in all of our communications with debtors. In fact, over the years, many debtors have retained our services after fulfilling an obligation to one of our clients because they respected the way we go about our business. That is the highest compliment we can get, and we get them on a regular basis. We realize that today's slow-paying customer can often be converted into tomorrow's good-paying customer with the right amount of collection follow-up and negotiation skill.

What sets your firm apart from the many agencies out there?

Established in 1975, RSD learned that a combination of strong results coupled with superior customer service is a winning combination. We work hard at learning what our clients require and even harder at fulfilling those requirements for them. At RSD, our clients are priority number one and we understand that if we don’t take care of them, someone else will. We take collections very seriously and believe that collections are and should be our primary focus.

What is your fee?

Our fee is contingent upon collection. If we don’t recover your money, we don’t get paid. Our fees are customized to fit our clients’ needs. RSD will work with you and your company to deliver the best possible rates. Our standard rates can be adjusted based on:

• Size of individual accounts
• Age of Account
• Volume of accounts placed for collections

How do I become a client of RSD?

Simply contact one of our Client Service Reps by calling 248.370.8160 to provide us with information necessary for us to set up a Client account for you in our system. You will be provided with either paper or electronic Account Placement forms, depending on your preference. You will also receive a user ID and password for logging into our system to place claims or look up account information.