Should You Contact A Lawyer Or a Collections Agency For Your Overdue Accounts?

August 10, 2017
Should You Contact A Collections Agency Or A Lawyer For Your Overdue Accounts? This is not an “either / or” question but rather one of the correct sequence. We recommend giving your significantly overdue accounts to a collections agency first. There are several reasons for giving your accounts to an agency once you are no longer making progress with your in-house collections process:
  1. A client or patient may become “defensive” when they are contacted by a lawyer and may become less likely to pay.
  2. When you contact a collections agency, you know they are specialized in collections. This includes procedures, software and other processes that an efficient collections agency has in house. A lawyer may not be specialized on collections and may not have these tools available to him/her. Furthermore, you can select an agency based on specialization, which we will address in another post.
And in addition, here are reasons that are not covered in the video:
  1. An agency may be more flexible in terms of individual dollar amounts that they will accept per client/patient. In other words, the minimum dollar amount they take on may be lower than what a lawyer will accept.
  2. An agency may be a less expensive option for your collections as their fee structure is likely different from that of a lawyer.
Eventually, the agency may turn over an account to a lawyer after they have gone through their entire collections process. In summary, it is really a question of sequence whether you should turn an account over to an agency or lawyer, not an either / or. We recommend talking to a collections agency first.
If you would like to learn more, we suggest the following: Ready to have a conversation with one of our team members?  Give us a call or send us an email now and we’d be happy to answer any additional questions you may have. 1-800-752-9663 or info@accmd.com. Alternatively, you can schedule a 30-minute call to review these points and your questions in more detail. Just follow the steps to directly book a phone appointment with one of our representatives via www.calendly.com/hheemann.We look forward to speaking with you!