All businesses, regardless of size, must be able to collect on their debt in order to remain solvent. When your debtors are business entities rather than consumers, it’s critical that you understand the key differences between collecting commercial debt and consumer debt. For example, there are regulations that apply to consumers but not businesses entities, and there are collection strategies that are better suited for commercial accounts.
Experian® has deep expertise in the field of commercial debt collection and has developed products specifically designed for commercial debt collection. Here are a few ways we can help you improve your collections processes:
Monitoring your debt portfolio allows you to manage risk proactively and take immediate action to address negative account performance. With Account Monitoring ServiceSM you can view changes to your customers' credit profiles and receive alerts regarding significant changes. It offers powerful triggering capabilities so you can not only avoid future risk but also identify up-sell and cross-sell opportunities.
To maximize return on investment on your collections activity, you need to deploy recovery strategies that are effective and efficient. Experian's Delinquency Notification ServiceSM helps you collect on your delinquent commercial accounts in a cost-effective manner, potentially avoiding the need to refer them out to a collections agency. Delinquency Notification Service contacts your debtors via mail on Experian letterhead, letting them know of their current debt obligations and communicating the potential effect on their business credit. In addition to motivating your customers to repay their debt, the letter also explains how they can obtain a free business credit report.
Recovering debt is nearly impossible unless you have access to current, accurate contact information. Access to a skip tracing tool such as Experian's Collections Recovery ToolSM can greatly increase your ability to locate delinquent debtors. The tool mines Experian's large network of business data sources to reveal alternate addresses, telephone numbers and business owners. It also provides a 90-day summary of their payment activity with other creditors, so you can prioritize your collection efforts.