In the realm of medical equipment exports to Taiwan, the process of chasing down payments is crucial for ensuring the financial stability of companies. This article delves into a comprehensive Recovery System and Debtor Communication process designed to recover funds effectively and efficiently. Let’s explore the key takeaways from these strategies:
Key Takeaways
- Implementing a structured Recovery System with defined phases can streamline the payment recovery process.
- Effective debtor communication through various channels like phone calls, emails, and letters is essential for resolving payment disputes.
- Engaging legal assistance in cases of non-payment can escalate the collection process and improve recovery rates.
- Careful evaluation of debtor assets and circumstances is crucial in determining the viability of legal action for debt recovery.
- Understanding the collection rates based on the age and value of accounts can help in optimizing the recovery strategy.
Recovery System for Chasing Down Payments
Phase One
In the high-stakes game of medical equipment exports, time is of the essence when it comes to payment recovery. We hit the ground running with our Phase One strategy, ensuring no time is wasted. Within the first 24 hours of an account being placed, our team springs into action:
- The debtor receives the initial letter, signaling the start of the recovery process.
- We conduct thorough skip-tracing and investigations to secure the most up-to-date financial and contact information.
- Our collectors engage with the debtor through a barrage of communication methods, from phone calls to emails.
Expect relentless pursuit. Our collectors make daily attempts to reach a resolution within the first 30 to 60 days. If these efforts don’t yield results, we’re ready to escalate to Phase Two, involving our network of skilled attorneys.
Phase Two
As we escalate our efforts in Phase Two, the case is handed over to a local attorney within our network. Immediate action is taken, with the attorney drafting a series of demand letters and attempting to contact the debtor by phone. Despite these intensified efforts, some cases remain unresolved. At this juncture, we assess the situation and prepare to advise you on the potential next steps.
- The attorney sends the first demand letter on their letterhead.
- Persistent attempts to contact the debtor are made.
- If unresolved, we provide a detailed report and recommendations.
We’re committed to transparency and will communicate the complexities of your case, ensuring you’re informed at every turn.
Should this phase not yield the desired results, we’re prepared to transition seamlessly to Phase Three, where decisive recommendations are made based on the debtor’s assets and the likelihood of recovery.
Phase Three
At the crossroads of Phase Three, we face a critical decision. Our recommendation hinges on the debtor’s asset investigation and case facts. If recovery seems unlikely, we advise case closure, at no cost to you. Conversely, should litigation appear viable, the choice is yours. Opt out, and you owe us nothing; proceed, and upfront legal fees apply—typically $600-$700.
Litigation is a serious step. Upon your green light, we’ll initiate legal proceedings to reclaim the full debt, including filing costs. Failure to collect post-litigation means the case is closed, with no financial obligation to us or our affiliated attorney.
Our commitment to transparency extends to our fee structure. We offer competitive rates, scaled by claim volume and age. Here’s a quick breakdown:
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For 1-9 claims:
- Accounts under 1 year: 30%
- Accounts over 1 year: 40%
- Accounts under $1000: 50%
- Accounts with attorney involvement: 50%
-
For 10+ claims:
- Accounts under 1 year: 27%
- Accounts over 1 year: 35%
- Accounts under $1000: 40%
- Accounts with attorney involvement: 50%
We stand ready to guide you through this final phase, ensuring clarity and support every step of the way.
Debtor Communication and Resolution Process
Initial Contact
After deploying our initial recovery system, we make the first contact with the debtor. Persistence is key; we reach out through various channels, ensuring our message is heard. Daily attempts are made, leveraging phone calls, emails, and letters to establish a line of communication.
Our approach is firm yet professional, aiming to secure a resolution within the first 30 to 60 days. If this phase does not yield results, we escalate to involving legal counsel.
We understand the importance of a nuanced approach, tailoring our communication strategy to the debtor’s response.
Here’s a snapshot of our collection rates:
- Accounts under 1 year: 30% (1-9 claims) or 27% (10+ claims) of the amount collected.
- Accounts over 1 year: 40% (1-9 claims) or 35% (10+ claims) of the amount collected.
- Accounts under $1000.00: 50% of the amount collected, regardless of the number of claims.
- Accounts placed with an attorney: 50% of the amount collected, irrespective of age or size.
Legal Action
When diplomacy fails, we escalate. Legal action is a decisive move, signaling our commitment to recover what’s owed. We lay out the options: withdraw the claim or brace for litigation. Choosing litigation means fronting costs – typically $600 to $700. It’s a calculated risk, but we’re in it together.
We’re transparent about the costs. No hidden fees, no surprises. You pay the court costs, we handle the rest.
Our affiliated attorneys spring into action, filing lawsuits and demanding justice. The goal? Full recovery, including filing fees. If litigation doesn’t pan out, you owe us nothing. It’s that simple.
Collection rates vary, but our terms are clear:
- For 1-9 claims, expect 30% to 50% of the amount collected.
- For 10+ claims, rates drop to 27% to 50%.
We’re here to guide you through every step, ensuring you’re informed and prepared for the journey ahead.
Collection Rates
Our success in recovering payments is quantified in our collection rates. These rates are competitive and structured to incentivize early resolution. The sooner we act, the better the outcome.
For a clear understanding, here’s a breakdown of our rates based on the age and number of claims:
| Claims Submitted | Accounts < 1 Year | Accounts > 1 Year | Accounts < $1000 | Attorney Placed |
|---|---|---|---|---|
| 1-9 | 30% | 40% | 50% | 50% |
| 10+ | 27% | 35% | 40% | 50% |
We tailor our rates to the specifics of each case, ensuring that our clients receive the most effective service for their unique situation.
Remember, these rates apply only when we successfully recover your funds. If we recommend closure of the case due to low recovery likelihood, or if litigation attempts fail, you owe us nothing. This no-recovery, no-fee model aligns our interests with yours, as we chase down payments in the challenging terrain of medical equipment exports to Taiwan.
Frequently Asked Questions
What is the Recovery System for chasing down payments in medical equipment exports to Taiwan?
The Recovery System consists of three phases: Phase One involves sending letters to debtors, skip-tracing, and attempting to contact debtors. Phase Two includes forwarding the case to an attorney for legal action. Phase Three involves either recommending case closure or proceeding with litigation.
What happens if attempts to resolve the account fail in Phase One of the Recovery System?
If attempts to resolve the account fail in Phase One, the case is forwarded to Phase Two where it is immediately sent to an affiliated attorney for legal action within the debtor’s jurisdiction.
What are the options in Phase Three of the Recovery System?
In Phase Three, the options are to close the case if recovery is unlikely without owing any fees, or proceed with litigation by paying upfront legal costs. If litigation fails, no fees are owed.
What are the collection rates for accounts submitted to DCI?
DCI offers competitive collection rates based on the number of claims submitted within the first week. Rates vary depending on the age and amount of the account, with different percentages for accounts placed with an attorney.
What are the upfront legal costs for proceeding with legal action in Phase Three?
The upfront legal costs for proceeding with legal action range from $600.00 to $700.00, depending on the debtor’s jurisdiction. These costs cover court fees, filing fees, and other expenses.
How are collection rates determined for accounts submitted to DCI?
Collection rates for accounts submitted to DCI are determined based on the number of claims within the first week, with different percentages for accounts based on age, amount, and whether they are placed with an attorney.
