What a Collections Representative Does

Collections representative
image: unsplash.com

After earning a BA in education from Arizona State University, Andrew Hopely worked with AmeriCorps as a community service representative. At AmeriCorps, he taught various subjects such as math and music. Andrew Hopely currently serves Discover Card where he works as collections representative.

The primary responsibility of a collections representative is to obtain payment of past due accounts. Some collection representatives work directly for the business that is owed money, but the majority of collection representatives are hired by third party collection agencies.

Here are the most common tasks a collections representative performs.

A collections representative contacts individuals or businesses with past due accounts by making phone calls, sending letters and emails, and making a personal visit. When a delinquent client tries to avoid the collections representative, he or she may obtain contact information from online sources such as social media, or by talking to the client’s neighbors.

During the initial contact, the collections representative thoroughly explains the circumstances of the past due account and the potential consequences if it remains unpaid. The collections representative will exhaust all possible means to settle the unpaid accounts without resorting to legal action. Options for the client include developing a payment plan or referring the client to a debt counselor.

Follow-up engagements may be necessary, so the collections representative documents his or her attempts to contact the client and the results of these efforts. The representative records the negotiated plan and regularly reports the progress of the delinquent account with the creditor.

If collections according to the negotiated plan are not satisfied, the collections representative may propose a more serious course of action, such as repossession of the item, disconnection of service, or referral of the case to a lawyer.

What Is a Collections Representative?

Two people talking
Photo by Nik MacMillan on Unsplash

As a collections representative, Andrew Hopely has over 3 years of experience in finance collections, cash handling, customer service, data systems, and computer systems. Working for Discover Card, Andrew Hopely has provided client services, deployed interest rate programs, and managed several past due accounts.

Collections representatives are also known as account collectors. People holding this job title typically work for creditors and collect past-due debts from both businesses and traditional consumers. Some collections representatives are employed by third-party collections companies, while others work for private employers. A primary duty of all collections representatives is to make collections calls, which is a way of informing account holders about their outstanding debts.

A collections representative is responsible for tracking down consumers that have overdue accounts. The process of tracking down some consumers can take time, because many people who have debts move or change phone numbers. A collections representative attempts to reach out to the account holders and work out payment plans.