Outsourcing credit collection services has become increasingly common, and there are a number of businesses that have been set up to help businesses with this task. First Credit Services is a leader in the field of credit collection services. It assists businesses in the health and fitness industry, such as gyms, to collect debts owed by their customers.
Most gyms have a number of customers who don't use the facilities and eventually just stop paying, However, where they are enrolled in a yearly program or have a rolling commitment, they still owe the money. Many gyms start by trying to recover the amount owed, but eventually give up - losing their money because they haven't got the time or expertise to pursue the defaulter.
First Credit Services is not involved in trying to run a gym - it is exclusively concerned with chasing delinquent debts. As a result it can save its customers time and effort, and improve their collection rates.
First Credit Services is bonded and insured in every state of the USA and complies with all Fair Debt Collection Practices Act guidelines and privacy laws. That makes it a good choice for chains of gyms which have outlets in a number of different states, enabling them to manage delinquent debts across the chain instead of locally.
As debt collection becomes ever more regulated, with regulation at a state as well as federal level, it will become increasingly difficult for businesses to keep up with the legal requirements of the debt collections process. The language to be used in letters requesting payment, for instance, is set out by law. Outsourcing of debt collection to companies such as First Credit Services takes this onerous burden away and should ensure the company complies with the law.
Employing an outsourced collection agent should also help to improve a business's cash flow. In a difficult economic climate, sometimes it's cash flow that marks the difference between survival and bankruptcy - by ensuring that the company receives a higher percentage of the money it's owed, First Credit Services is helping it remain in robust financial health.