As a consequence of the global impact of the COVID-19 pandemic, Australia’s economy is in recession for the first time in three decades. Unemployment is hitting highs that haven’t been seen since the 1980s and the Commonwealth Government is set to wind back some of its income support measures, such as Job Keeper. Many households and businesses are feeling the financial pinch and it’s not likely to ease in the short term.
If you are a business with outstanding debts owed, there’s every chance you are feeling quite concerned about the likelihood of recovering the money owed.
It’s possible that some debtors are using the current situation to avoid honouring their obligations. In these situations, debt collection is adversarial and these debtors, while they have the capacity to pay, simply don’t want to. In these situations, there is often simply no alternative but to implement a robust, legally enforceable debt recovery regime.
However, the majority of debtors recognise their obligations and want to discharge their debt but simply aren’t in a position to do so. In this situation, building a relationship with the debtor in order to understand their situation and work collaboratively to develop a debt repayment solution is much more effective.
The first challenge for a responsible debt recovery agency is to understand the debtor, their individual circumstances and their motivations for not paying. The next step is to develop an effective strategy for ensuring that the outstanding money is recovered. It is essential to understand that there is no effective “one-size-fits-all” approach to debt recovery. Ensuring the best returns for clients requires a sophisticated approach that maximises the likelihood of the debt being recovered in full.
Responsible debt recovery agencies like eCollect do not apply any single, process-driven approach to collection. We take the time to understand the situation and establish a tailored approach to suit each debtor. Our account managers take the time to get to know the debtor and understand their personal or business circumstances, building a respectful relationship to persuade them to pay eCollect, often in preference to other debtors.
Our expert and experienced account managers are skilled at sizing up the debt recovery situation, considering a number of different potential approaches before determining a strategy that will deliver payment of the outstanding debts. Each industry has its own way of doing things and our account managers have specific expertise across a range of business sectors.
This sophisticated approach is what separates eCollect from its competitors. Building a relationship with the debtor which reflects respect and trust and can take a bit of time and might seem like a slower approach than many other debt collection agencies. However, eCollect is prepared to invest this time and we have found time and again that it provides the best returns for us and our clients.