It’s a common fact that many debtors will provide misleading or outright false information in order to make a debt harder to collect. In such instances, it is therefore important to have a well thought out and executed debt collection strategy in place to ensure success.
Through extensive research, it has been discovered that people have developed a convincing explanation for pretty much any situation which begins as children. Most of us grow out of denying responsibility or providing otherwise convincing explanations for situations, but on the flip side, some other people continue to practice this approach throughout their whole adult life without any hesitation.
As you can imagine, in the world of debt collection, we’re heard every excuse and explanation under the sun. Here are some of the excuses we’ve heard over the years as professional debt collection agents:
- We’ll pay you when we get paid
- We have a big customer who hasn’t paid us
- Sue us and we will file bankruptcy
- One of our accounts is overdrawn
- We are having cash flow problems
- I haven’t paid myself in over six months
- I’ve put everything I own into the business and we are still barely hanging on
- I should be able to pay you in 30 days
- My family member has a health issue
- We’ve lost all our records
- My bookkeeper has just left
- We got robbed last week
Convinced you are being fobbed off but can’t prove it? The key here is to keep asking questions and get more and more details. Whatever industry your clients are in, you’ll understand it thoroughly and we are debt collection agents will have a fair idea also. With this in mind, we’ll keep the questions relevant and the more they reveal, the more there will be a chance of inconsistency. As the old saying goes ‘If you give them enough rope to hang themselves with’ the likelihood is, you won’t need to do much delving about! After, we ask clients to provide independent corroborating evidence to back up the claims they are making- to which point they’ll be squirming and understand we are on to them fully by this point! Such evidence includes a hospital note, a screen shot from their bank statement or a financial statement- anything which proves what they are saying is true. If they don’t offer up help or assistance, they clearly won’t cooperate and mark themselves as guilty as sin.
Another effective method of determining whether they are telling the truth or not is to ask a question about a topic where you’ve previously gathered information on it/them. If they don’t know what you already know, a liar is far more likely to make a mistake than someone who is telling the truth. And so, once you know whether you are dealing with a deceitful or honest person, formulating a strategy on how to move forwards in a positive light becomes far easier.
If you need help with collecting bad debts or want to show your clients you mean business when it comes to prompt payments and overdue invoices, get in touch today with our team of professional, persuasive and persistent debt collection agents. With a wealth of experience in the industry, we are here to help your business thrive. Don’t delay- get in touch today and see how we can help you.