PreCollect

01

PreCollect is the stage in the debt collection process that occurs before an account is officially placed in collections.

During the PreCollect phase, the creditor or the company to whom the debt is owed attempts to collect the debt directly from the debtor before involving a third-party collection agency.

In the PreCollect stage, the creditor or company may send reminders, notices, or make phone calls to the debtor to encourage them to pay the outstanding debt. This can be seen as a more amicable approach to debt collection, as the debtor is still dealing directly with the original creditor or service provider. The goal is to recover the debt without resorting to the more aggressive tactics typically associated with third-party collection agencies, such as AmCollect®. See our thorough downloadable PreCollect process and strategy that you can implement from our resource center at no cost to you.

If PreCollect efforts are unsuccessful, and the debtor does not respond or make payments, the debt may eventually be sent to a collection agency for further collection efforts. PreCollect can be considered a gentler or preliminary step in the debt collection process, designed to give debtors an opportunity to resolve their debts before more aggressive collection methods are employed.

Our PreCollect service provides our clients with the ability to place accounts earlier in the recovery cycle. AmCollect® agrees to send a set number of letters and/or make a set number of phone calls on your behalf for a reduced fee. Our letters and phone messages can route your patients/consumers back to your office or we can handle the calls on your behalf. We can process payments on your behalf or have the responsible parties arrange payment directly with your office. 

Our PreCollect service offers you the best of both worlds:

  1. Accounts are presented sooner in the recovery process and are collected on a flat fee basis.
  2. If during the PreCollect cycle the debt remains unpaid it automatically rolls into the standard collection process at an agreed upon time.

We believe that the combination of PreCollect and standard recovery processes offers the most cost-effective collection service available. There is another transparent benefit that allows for more timely submission of accounts resulting in added recoveries at a lower averaged cost. It also allows your staff to concentrate on current accounts eliminating unnecessary charge-offs. 

If you’d like to take matters into your own hands you may take a look at our PreCollect process and strategy that is downloadable from our forever useful Resource Center. If you find this process to be too much feel free to let us know and we will take care of it for you. Simply speak to a dedicated compliance manager and let’s get the process started.