We've compiled a list of frequently asked questions to help you see how we handle common collection situations. As always, you may call our office if you have additional questions. You can reach us at 801-364-0777 x101 or send an email to ClientService@North-American-Recovery.com.
DISCLAIMER: This article is for informational purposes only. The author is not rendering legal advice. As with any legal matter, we recommend that consult an attorney if you have any questions.
Answer: Everything. Send us a copy of everything you have on the consumer’s file, but make sure this includes a minimum of all of the following:
Answer: Our goal is to provide you with instant, comprehensive service. As such, we have a team of client service representatives ready to answer your call. You aren't restricted to just one contact; anyone in our Client Service Department can help you at any time—from start to finish—and take care of your needs. If you are in the Salt Lake City calling area, dial 801-364-0777 x101. If you are outside the Salt Lake City calling area, dial 1-800-364-6445 x101 (toll free). You can also send an email to ClientService@North-American-Recovery.com.
Answer: Tell them to call us. Inform the consumer you have assigned his or her account to North American Recovery. Let the consumer know the account is out of your hands, and he or she must contact our office directly by dialing 801-364-0777, option 3 (if they are in the Salt Lake City area); or toll free at 1-800-364-6445, option 3. The consumer can also send an email to Contact@NAR-Email.com.
Answer: Tell the consumer, “I’m sorry, that is no longer an option. You need to call North American Recovery and discuss paying your account with them. We’ve turned the bill over to their office, and all communication needs to go through them from now on. They can be reached at 801-364-0777, option 3 (which is local to the Salt Lake City area); or toll free at 1-800-364-6445, option 3. Or you can send an email to Contact@NAR-Email.com.”
Answer: Send the payment to us. It’s much easier for everyone involved if we process the payment in our office. Sometimes the consumer will pay you an amount he or she believes is payment in full. However, if we’ve added legal costs to an account,it could cause confusion. We will continue to collect any amount owed after the payment has been applied.
Answer: No. Our contract with you allows us to endorse the check as your agent. You can sign it over to us, but don't have to.
Answer: If a consumer’s bankruptcy includes your account or the consumer currently has an open bankruptcy, you should not allow him or her to pay anything other than what was ordered by the bankruptcy court. The best course of action would be to explain that to the consumer. If the consumer insists on paying, you should consult with your attorney before accepting anything, just to be safe.
Answer: Deposit the cash and immediately call our office to report the payment. We will credit the consumer’s account and withhold our commission from your next monthly check.
Answer: Forward the letter to us so we can follow up with the consumer directly. If our office receives a letter from a consumer and it appears we need you to review the letter, we will send you a copy.
Answer: We will send you an email notifying you of our intent to sue a consumer. When this happens, it’s very important you review the account one last time and make sure everything is in order. If it is, update your system to reflect that we are suing the account. That’s all you need to do. However, if you find anything that needs our attention, please let us know right away.
Answer: Call us. Collections is a complex process, and each account has unique circumstances. Since that’s the nature of collections, it makes it impossible to come up with a one-size-fits-all answer to this question. However, if a situation arises that you believe warrants the cancellation of an account, call and speak with us. We will do whatever it takes to make sure you are satisfied with the final result.
Answer: Forward the notice to us. North American Recovery has a sophisticated bankruptcy follow-up system in place that ensures we keep track of all developments in the bankruptcy. If the bankruptcy is eventually dismissed, we reactivate the account and restart the collection process.
Answer: Yes. Include a detailed note explaining that you haven’t actually assigned the account yet but that you want us to use our advanced bankruptcy follow-up process to track the account. We will file a proof of claim for you (if appropriate) and monitor the bankruptcy for future payments or developments. We will make sure every possible dollar is collected. If the bankruptcy is eventually dismissed, we activate the account and start the collection process.
Answer: An affidavit is a sworn statement in which the person who signs gives testimony based on first-hand knowledge of an account. Signing an affidavit is exactly the same as testifying under oath in a court of law. We may need a client to sign an affidavit when our attorneys are working on a summary judgment which, if granted, will prevent the client from having to appear in court and testify. The person signing the affidavit needs to be the one who has personal knowledge of the account, what the services were for, the amounts owed, and all other facts surrounding the debt.
Answer: We review this situation very carefully to determine if the payment was received because of our efforts. For example, if you mail an account on Friday we will probably get it Monday or Tuesday. If you call Monday morning and tell us that you just received a check in the mail from the insurance company, it’s obvious we didn’t generate the payment because we haven’t even entered the account into our system yet. In this case, we would not charge a commission. We would cancel the account and return it to you.
However, let’s look at another potential situation. Imagine that we enter an account and send our notice on a Monday. The consumer receives the notice on Wednesday and immediately calls his insurance company. After talking to the insurance company, the consumer clears up a misunderstanding, and the insurance company agrees to pay the bill. But the insurance company doesn’t send the check to us, they mail it to your office. You receive the check on Friday and give us a call. Even though the consumer never called our office—or your office—it’s clear the insurance paid because of our involvement. In this example, we would take our commission.
We analyze each account and strive to do what is right. We want everything to be completely fair for both of of us. We also want to make sure you are comfortable with the outcome. If we did something that resulted in the account being paid, we deserve our commission. If we didn’t, we don’t.
Answer: We can do that for you. However, increasing the amount owed on an account means we would have to re-enter the account, just as if it were a brand new account. We would need to send a new first notice and then wait an additional thirty-five days before we can take any further action. If you’re okay with that, we are more than happy to adjust the balance. Just send a new itemized statement reflecting all charges, and we’ll take care of it.
Answer: Generally, the answer is no. Once consumers have paid the accounts in full, we will report them to the credit bureaus as paid, but we cannot remove the entries from their credits.
However, if there was a mistake, an error, or a misunderstanding while the account was still in your office—or if the consumer didn’t receive our first notice because they moved and we didn’t have a correct forwarding address—we are able to make an exception and remove an account from the consumer’s credit. However, the consumer must pay the full balance within thirty days of becoming aware of the debt. Call our office when you have one of these situations, and we will see what we can do.
Answer: This is a tough one because every account is different. Each consumer has unique circumstances, and that means that there really isn’t any way to know in advance how long it will take to collect a given account.
However, having said that, consumers who pay fall into three general categories:
Assuming your accounts include all three consumer types and you send at least ten or more accounts every month*, here is when you should expect to start seeing money from us:
* If you send a smaller volume of accounts, your results will vary, and you will have months where you may not get a check at all. However, we will still take the necessary time to review each account with you so you’ll know exactly what’s happening.
Answer: No. North American Recovery pays all court costs, service fees, and attorney fees. We then add those costs to the consumer's account.
Answer: Yes. However, since we aren’t attorneys and we can’t give legal advice, we recommend you consult with your attorney if you have questions regarding what you are allowed to do with regard to collection activity.
Having said that, North American Recovery is not allowed to send a collection letter via email unless the consumer has given us permission to do so. Because email is not a completely secure form of communication, we can’t guarantee a third party wouldn’t see the contents of the email. We would be risking a violation of privacy laws if we sent a collection notice via email.