Believe it or not the success or failure of your attempt to collect a
debt is usually decided right at the start of your phone call -
with the very first thing you say after the other party says hello.
Knowing exactly what youre going to say, and handling the call
in an organized, professional manner is the foundation upon
which collections are made or lost. There are four parts to a
professionally executed collections call:

Part One: The Open How you identify yourself, your company and
the problem. And how you place that problem before the debtor.
Dont inquire of him when hes going to get around to paying you or why
hes putting you off. Otherwise youve made your move too soon
and you will be at a disadvantage right off the bat. Instead, put the
debtor in the position of having to explain himself. Say something
like What are your intentions toward this bill?

Part Two: The Facts - If the debtor doesnt agree to pay the bill
early on, move into the next part of the call: asking questions about
his situation. Its important to make a smooth transition here because
you do not want to alarm the debtor. Say something like Let me just
fill out an extension form for you. Then you may initial asking about
his job, whether his wife is employed, any outstanding loans he may
have, credit cards, etc.

Part Three: The Dun - Once your questioning has given you the
data you need you may show the debtor a certain way in which he
or she can pay the debt. You understand , for instance, that he may afford
to put it on his MasterCard, or that she could qualify for a bank loan.
Now youre in position to contruct your demand for payment (the dun).

Part Four: The Close - Whether or not the debtor has agreed to pay
there is also a targeted way you should end the call. And I dont mean,
Gee, thanks, have a nice day! or Youve got your nerve! Use an
open-ended question planned to put the debtor on the spot; something
like Do I have your word on that? If he has refused to pay or continues
to dodge and delay remind him of how serious the situation is; make it
clear that the problem must still be resolved. Be professional; do not
insult him. Save any threats of legal action until youve contacted the
debtor several times without success and see no other option. Never
threaten legal action unless you fully intend to follow through, otherwise
you could be accused of harassment.

Collection calls are a necessity in bill collecting. Making the effort to
learn and make use of as many techniques as you may will bring results and increase t
he bank balance of your business.

Jim Finucan has more than 12 many years as a top gun in the collections business.
Visit http://www.tiare.com/pastdue.htm for more experience on
bill collecting and his debt collections manual - Past Due!