2. When and why should an account be turned over for collection?
We are a third party, professional debt collection agency. Your internal collection staff members are experts on collecting your accounts. They know your customers, they know your policies, and they know how you want your collections handled. Cabot works best when used as an extension of your internal collection resources. We will also become familiar and experts in handling your accounts. By doing this your internal staff can work the "new" accounts (typically for 60 to 120 days). Those that do not respond to your internal efforts can be turned over to Cabot at some pre-agreed-upon aging point (usually between 60 and 120 days). Your staff can continue to focus their efforts on the "newer" accounts. Cabot will continue to collect on the aged delinquencies. Under this scenario, you maximize your internal and external recovery ratios. Keep in mind, there is an 90% chance of recovery if an account is placed for collection when it has aged only 2 months versus a 56% chance of recovery if it has aged 6 months.


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