As economic conditions continue to worsen and consumers tighten their belts, accounts receivable companies seem likely to adjust their collection strategies. The advisers at leading ARM (Accounts Receivable Management) consultancy Kaulkin Ginsburg have reported that over 90% of respondents to their quarterly Industry Confidence Survey have said that they are either “somewhat likely” or “very likely” to adjust their collection strategies to adapt to the economic slowdown.
Over 750 ARM professionals — ranging from banks and credit issuers to collection agencies and debt buyers — participated in this most recent survey. Almost two-thirds of debt collectors reported that account placements have been “moderately” or “significantly” higher in the third quarter of 2008. Less than 15% of respondents reported a decrease in placements, and the majority of those decreases were described as only “moderate”.
Almost half of all collection agency respondents described their current performance as “strong” or “excellent”. Less than 20% described their performance as “weak”, and only 1.7% of respondents described their performance as “poor”.
Collecting on your unpaid accounts is difficult under the best of circumstances. Don’t let the economic downturn leave you in a bind, let the experts at Summit AR put their years of experience to work for you!