Monday, August 13th, 2018 | The Cash Flow Group | Comments Off on Commercial Debt Collection in Florida
Commercial debt collection in Florida
The Cash Flow Group a commercial debt collection in Florida is the premier debt collection provider in the area. We begin debt collection with verifying the contact information provided by our clients and gathering additional information on the business to be used by the debt collector. We email, fax and mail a short demand letter to the debtor typically within one business day of receiving a claim. However, the primary communication method in our debt collection process is the telephone augmented by e-mail as appropriate.
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Tags: Commercial Debt Collection in Florida
Sunday, August 12th, 2018 | Florida Debt Collection | Comments Off on Florida Debt Collection Laws
Florida Debt Collection Laws – From The Cash Flow Group
Florida collections agencies have a code of conduct that they must follow. This is so they can do their work in a legal manner. Outlined below are some worrisome aspects of debt collections. These are specific for residents in the state of Florida.
Statutes of Limitations
What is a statue of limitation? It is the period of time following the last payment made on an account. During this a creditor can be successful in suing for payment. Once the statute of limitations has expired the debtor has an absolute defense in the case of a lawsuit. In other words, you no longer have to pay.
What is the statute of limitations in Florida? It is five years for written agreements and four years for oral agreements. Statutes of limitation on debts do not affect how long they are now listed on your credit report.
Contact from Collectors
Collectors keep “bad” debts from original creditors. This happens either by debts assigned to them or (usually) by buying them. Your creditor is not obligated to inform you when your account transfers to an agency. Sometimes the first clue that you get is a most unexpected phone call or letter.
When an agency contacts for you the first time, they are now required to send you a written notice in the mail. This needs to be within five days of initial contact. The notice must include three important pieces of information:
(1) the total amount of money that you owe
(2) the name of your original creditor
(3) the actions that you should take if you wish to dispute the debt.
Collectors may contact you about your debt by phone, mail, fax, or telegram, both at your home and at work. State your wishes in writing if there is a specific type of contact that you would like stopped or altered. Once you have done this, send to collections agency via mail.
For example, what if your employer disapproves of calls to you at work? You should tell them this and that you would like such calls to stop. If the approved calling hours (8am-9pm) are inconvenient for you, tell them to call another time.
If you have representation by an attorney, then collectors should contact your attorney.
Disputing the Debt
If a collector contacts you about a payment you believe is now paid, or you do not recognize, dispute it! But, you must dispute the debt within 30 days of initial contact with the collections agency.
No matter what message you want to get across to a debt collections company, you should do it in writing. With very important correspondence, send your mail certified and with a delivery receipt. Documentation is essential. This is especially if there is a difference in opinion on your liability for the debt.
Do not send original documents to collectors. Do send copies of documents that support your position. Once you make your dispute, the collections agency may not contact you again. They may not contact you without providing their proof of the debt. In the event that the debt you are being contacted about is someone else’s, they may ask for proof of your identity.
What happens when you file a dispute on your debt? The agency must report this dispute to the consumer agencies if they choose to report your debt. It’s either all or nothing when it comes to reporting.
What Collectors Must Do:
Debt collectors who contact individuals in Florida must register with the state. This includes those debt collectors whose location is elsewhere. They must be completely honest with you about their identity and their purpose. Any collector who calls you must tell you their name and the name of the collections agency.
Collectors must also protect your privacy. This is according to state and/or federal law, in the following ways:
• They cannot disclose any information about your debt. This information could harm your reputation to anyone outside of your family. • Publishing or contributing to any type of “deadbeat list” or “black list” is illegal. • Mail sent by the collections agency cannot contain any immediately visible information. This information could embarrass the debtor or reveal the debtor’s situation. • They cannot reveal any information about your financial situation. They can also not reveal their collections efforts to your employer. The cannot reveal without first obtaining a court order (such as for wage garnishment).
What Collectors Must Not Do
In addition to their responsibilities as outlined above, debt collectors also are obligated to refrain from any type of harassment, abuse, or deliberate misleading of debtors.
Collector’s obligation is to also refrain from any type of harassment, or abuse. Also any deliberate misleading of debtors.
The following types of harassment / abuse are illegal:
- Use of obscene or profane language
- Calling a debtor or his or her family with the intent to annoy or irritate
- Threats of violence against a debtor or his or her property
- Threats to advertise one’s debt
- Threats to take any action that is illegal
The following methods of misrepresentation are illegal:
- Leading a debtor to believe that the collector is:
- An Attorney
- A law enforcement official
- From a government agency
- From a credit bureau
- Approved by the government.
- Using stationary or forms that look like legal documents or official government documents
- Implying that the debtor has committed a crime or is going to jail
- Attempting to collect a debt that is incorrect
- Hiding one’s identity so that a debtor is now fooled into paying for a collect call or telegram
Violations of the Law
If you believe that a collector has broken in law while trying to collect on your debt, then you should contact the state attorney general. You also may want to file a complaint with the Federal Trade Commission, the agency charged with overseeing the federal Fair Debt Collection Practices Act. If a collections agency has broken the law in your case, then you might successfully file a lawsuit against them. Do you believe that a collector has broken in law while trying to collect on your debt? Contact the state attorney general. You also may want to file a complaint with the Federal Trade Commission. This agency is in charge of overseeing the federal FDCPA. Has a collections agency broken the law in your case? You might be able to be successful in filing a lawsuit against them.
The Cash Flow Group
Fort Lauderdale / Miami, FL
Toll Free: 800.226.2006
Tags: Florida Debt Collection
Thursday, August 9th, 2018 | The Cash Flow Group | Comments Off on Commercial collection agencies in Florida
Commercial collection agencies in Florida
The Cash Flow Group a commercial collection agencies in Florida ensures your PR keeps up an excellent reputation. One of the most frustrating elements of a PR crisis is that often the company suffering the backlash hasn’t done anything wrong. Sometimes when a company and a customer, or two companies, have a disagreement the entity that suffers in public opinion isn’t necessarily the one who is in the wrong. Instead, it is often the one with the less agile PR company, or the one with the more complicated side of the story. Collections disputes are an excellent opportunity for the company in the right to find itself cast in public opinion as a mean and unreasonable aggressor.
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Tuesday, July 24th, 2018 | The Cash Flow Group | Comments Off on Credit Report – The Nitty Gritty
What’s in a Credit Report?
The Cash Flow Group, a Florida commercial collection agencies.
Your credit report lists what types of credit you use. It also lists the length of time your accounts have been open, and whether you’ve paid your bills on time. It tells lenders how much credit you’ve used and whether you’re seeking new sources of credit. It gives lenders a broader view of your credit history.
Credit reports include information on where you live and if you have been sued, arrested, or filed for bankruptcy.
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Saturday, July 21st, 2018 | The Cash Flow Group | Comments Off on Settling Credit Card Debt
Settling Credit Card Debt
Credit card debt settlement is a way of dealing with your credit card debt by paying less than you actually owe. While debt settlement ranks low on the list of desirable debt solutions, it’s one you might consider if you’re out of options and on the brink of filing bankruptcy.
- You may ultimately pay less than what you owe. The unpaid balance is forgiven once the negotiated sum is paid in full.
- Debt settlement may offer a more budget-friendly plan for getting out of debt within two to five years. However, settlement is not guaranteed.
- Debt settlement is an alternative to bankruptcy.
How The Cash Flow Group Helps:
The Cash Flow Group, located in Miami, Florida, prides ourselves in our transparency. Unlike most debt settlement companies who may make big promises such as suggesting that debt settlement won’t hurt your credit score. The reality is debt settlement can’t protect you from credit score damage, debt collectors or lawsuits, and a good debt settlement company will be transparent about these facts. However, we are here to help in the best way possible, and we do our job there extremely well. The Cash Flow Group will manage your accounts receivable to ensure success in paying off debt. Out group provides debt settlement, a way to eliminate your debt by paying a fraction of what you owe. It is an option for consumers who can’t afford their current debt payments, and either can’t or won’t file for bankruptcy.
Our Call to Action:
When you settle a debt, we agree to accept less than what you owe to resolve it. Moreover, if you are unable to pay anything, we may be willing to reduce the amount you owe and settle for less. This is because we truly care about our clients, setting us apart from most companies who only care about their “pay back”.
Tuesday, July 17th, 2018 | The Cash Flow Group | Comments Off on Credit Control Tips | Cash Flow is King in Every Business
So, what is credit control? Every business wants to earn money and make a profit. Businesses offer quality goods and services to their clients and stand out from their competitors. It makes good business sense to then invest this profit back into the business. Then they can provide more a comprehensive list of services and offer better products for their clients. This in turn ensures that clients are then receiving the level of service they would expect.
All of the above makes the ideal business model, maybe in the world of make believe, but let’s step into the real world of business & 2018. Since the recession of 2008, businesses have been suffering as a result of late payment behavior by their clients. Billions of dollars are written off by US businesses each year because of late payments and poor credit control . It’s become a norm for big businesses to hang smaller businesses out to dry. They go unpaid for long periods of time hoping they can cut a deal with liquidators and settle only percentage of what was owed.
This scenario is a very sorry state of affairs. How can we resolve the issue ensuring clients pay accounts on time? Credit control is the answer. These simple tips can be implemented to your business to deliver results straight away & ensure that your cashflow remains intact:
1. Master credit control by clearly setting out your Payment Terms & Conditions
It’s extremely important to set out company payment Terms & Conditions in writing. This can be included in your Terms & Conditions on contracts or credit application forms and stated on invoices. It amazes me the amount of businesses who simply don’t have any payment Terms & Conditions. If they do, their clients are not aware of them as it has not been brought to their attention before. Debtors are very conscious of what they have to pay but this must be set out in black and white. If not, the company has nothing to fall back on should the debtor resist payment. Set out your Terms & Conditions in clearly to your clients to create a clear and consistent approach.
2. Send your invoices out with the goods or services
A lot of businesses we deal with raise invoices to their clients at the end of start of each month, by this time their client could have been in receipt of the goods or services they ordered for two to three weeks already before receiving an invoice from the company. This does not make good business sense, and invoices sent after at the end of each month etc are often paid late, and there is a stronger likelihood of them been settled quicker if they are in the client’s possession straight after the business transaction has happened. Sending invoices throughout the month and immediately after goods or services have been supplied is also beneficial because the company will have a constant cash flow coming in to their account.
3. Don’t be afraid to approach and speak to your clients about payment
By law you have to allow clients time to pay before you can pursue them legally for non-payment. This does not stop you calling or emailing them to ask when you can expect payment. Accounts receivable departments should have a robust process in place for this. They can call clients after invoices have been raised to deal with queries or disputes promptly. Then call or email them 15 & 30 days after the invoice has been raised to see when payment will be made. This demonstrates to clients that the business is very on the ball with their credit control. After 30 days contact should be made with the client on a daily basis. If this contact is not made it, implies that the company doesn’t need the invoice paid all that urgently.
All of the above are easily implemented into a business in turn leading to big changes within the business. Small modifications can lead to invoices being paid on time or more promptly.
Tags: accounts receivable, commercial debt collection industry, credit control, Florida, Ft Lauderdale, improve payments, Miami Fl, The Cash Flow Group
Tuesday, July 17th, 2018 | The Cash Flow Group | Comments Off on Miami, Fl Debt Collection | The Time To Act Is Now
Island time in Miami, Florida?
Here in sunny Miami, Florida many individuals run on island time…or peninsula time technically. Issues can be put off to tomorrow for months on end. Treating your debt collection issues that way can be fatal for recovery. The age of an account can have a great affect on it’s collectability. In most circumstances, the older an account is the more difficult it is to collect.
As time goes on it can become more difficult to locate a debtor. Even a business may relocate from Ft. Lauderdale to Miami, Florida and change names. People move to new homes, new towns, new states. They change phone numbers and jobs. They may do this several times over the course of a few years. Each change can make locating a debtor more difficult. If you can’t find them, you can’t get payment from them.
Statute of Limitations on Debt in Miami, Florida Collections
The collectability of an account goes down as the account nears the statute of limitations. The statute of limitations on an account is the number of years you have to pursue an account from the last date of charge or payment (whichever is most recent). For example, the statute of limitations in the State of Florida is 5 years for a written contract. You would have 5 years from the last date of payment or the last charge to take that account to court. Each state decides the statutes of limitations for different types of accounts – open accounts, judgments, oral contracts,etc.
The faster you can move forward on an outstanding account, the more likely you are to receive the payment due to you. This is truly a situation where time is money and the more time you let pass the greater the chance you’re letting your money slip away. Be proactive about the money owed to you; Cash Flow Miami is the solution.
Tags: accounts receivable, commercial debt collection industry, Florida, Ft Lauderdale, improve payments, Miami Fl, The Cash Flow Group
Monday, July 16th, 2018 | The Cash Flow Group | Comments Off on Debtor Rage Unplugged!
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Commercial debt collection has one mission…
All we read is how horrible collectors are in the commercial debt collection industry. A simple google search will result in little to no results discussing the woes of debt collection on the collectors end. In fact, it all results in the opposite: how harsh the process is for the debtor. In reality, the commercial debt collection‘s industry is highly regulated, but the debtor’s response is absolutely unfiltered. If people had any idea of the amount of foul language, threats, and other abuse received by debtors, they would be shocked. (…or would they?) Many individuals are too proud and want to act like their problems are the collectors fault. Once again, in reality, the debt was brought on solely by the debtor for a myriad of reasons. Simply put, this is not the problem of the collector; the collector has one mission.
Commercial debt collection is regulated…
The job of the debt collector is to make contact, and attempt collection. With this being the sole aim of the collector it is relentless and persistent. As long as calls or attempts to make contact are ignored, they persist. If debtors would like them to stop, the one and only way to stop them is to make a plan to pay what they owe. Furthermore, collectors are a daring bunch many physically go to dissolute areas in attempt to collect a debt. They travel armed with paperwork. A commercial debt collection agency will never threaten anyone existence, but their lives are often threatened. For phone collections, collectors are giver the run-around. This leads to more embarrassment to the debtor as the collector moves down the contact list attempting to find someone who isn’t missing.
Commercial Debt collection is an industry of workers.
The cycle of embarrassment, annoyance, and frustration is solely brought on by the debtor. The debtor creates a situation that they then respond to with threats and verbal abuse. Commercial debt collections agents literally work with what they are given. No one deserves to be the recipient of threats and abuse just because they are doing their job. Debt collectors aren’t horrible; they are working.
Tags: commercial debt collection industry, Florida, Ft Lauderdale, Miami Fl, The Cash Flow Group
Friday, July 19th, 2013 | The Cash Flow Group | Comments Off on FDCPA Reform Coming?
Not looking forward to the outcome of this with the history of anti-business regulations from this administration.
Read full article from insideARM.com
Tags: commercial debt collection industry, Florida, Ft Lauderdale, Miami Fl, The Cash Flow Group
Friday, May 10th, 2013 | The Cash Flow Group | Comments Off on BEWARE OF FALSE ‘PROFITS’ IN ACCOUNTS RECEIVABLE
I have observed many companies, (in my 31 years in the debt collection industry) being blindsided by the reality that they stand to take a substantial hit on what they were holding in their account’s receivables that were past due. In essence, they were counting on and believing in false profits. The all too common assumption is that as long as a customer is buying and my receivables are growing, we’re making money. The thinking seems to be that cutting a non-payer or very slow-payer off from more credit will, A – cause you to lose needed revenue, and/or, B – cause the customer to not pay you as they seek credit and services elsewhere. In other words, we want to believe that the customer will eventually pay, catch-up, etc. We certainly don’t want to believe we’re about to get screwed over with an unpaid receivable.
I have seen companies play this game of ‘roulette’ for a year and more allowing customers to receive their goods or service, all without paying, and all because of the mind-set that I mention above. Companies just hate to turn away revenue, and they just want to blindly believe, in spite of all the signs and statistics to the contrary, they’re eventually going to get paid. You know the story, ‘they know better’, ‘they know their customer’, constantly playing amateur psychologist, emotionally attached to the situation, because it’s money involved, and you know if there’s anything that can get us emotionally attached, it’s our money…
News Flash! All monies that are written off are pure profit dollars. All operational costs, salaries, taxes, etc. have already been paid. You might consider, in your particular business, how much in gross revenue needs to be regenerated just to cover what you had to write-off. For example, let’s say your ‘net profit’ is in the 12-15% range, and you just wrote-off a $10K bad debt. You would need to generate about $90K -$100K in new sales just to cover the loss of that write-off. Again, what you write-off are pure profit dollars.
I will give you 2 current examples from our portfolio of accounts; but believe me, I can give you many, many more!
Example #1: a small meat distributor, in this case selling to a small mom & pop store. Back in May 2011, the store bounced 5 checks totaling about $4k. A small payment was made in May toward one of the checks. In spite of this glaring warning sign that there were problems with their cash-flow, the distributor continued to deliver meat for the next 3 months, with no payment whatsoever. The last delivery was in August 2011, and then they finally stopped delivering. Now the distributor was owed $20K! But wait, it gets better. They tried for 1 ½ years to recover the debt from the store before finally placing the account with this agency in February of this year.
Example #2: a small produce wholesaler selling to a mom & pop retail produce store. In April of 2012 they received 3 NSF checks from the store totaling $6700. Nonetheless, without any recovery on the checks, they continued to provide produce to the store through September 2012. Now they were owed over $16K. They finally placed the account with us in January of this year. By that time the store had been taken over by another creditor, who subsequently closed the store, sold the assets and distributed the monies ‘proportionally’.
Our client received $400.
Unfortunately, both believed in ‘false profits’.
I cannot tell you the number of short-sighted business owners, controllers, credit managers, etc., that I’ve spoken to through the years that end up in this situation, often largely due to, (are you ready for this?) they don’t want to pay to have a collection agency do what they are ‘so good at’. I mean God forbid they cut-off a customer early and place with an agency they would have to pay 10-20% to. No, they’ll save their company money by continuing to ‘work with’ the customer, or try to recover on their own for a year, yada, yada..
If I’m sounding sarcastic, it’s because I’m trying to. When you have the advantage of seeing this happen to thousands of businesses for 31 years, I guess you get a little jaded to the same old worn-out, tunnel-vision, excuses coming from some of these credit execs and business owners.
Bottom line, write a credit policy and stick to it. The odds of greater recoveries and less write-offs will be well in your favor. Don’t put your hope in false profits!
Art W Schnitzer
President
The Cash Flow Group, Inc.
Tags: accounts receivable, commercial debt collection industry, Florida, Ft Lauderdale, Miami Fl, The Cash Flow Group
