Credit cards are incredibly useful. They allow consumers to build their credit, make large purchases with small payments, and low-interest and zero-interest credit cards with balance transfer options allow people to reduce some of their other credit card debts over long periods of time. A lot of credit card companies even offer fantastic perks like cash back, purchase rewards, and it’s of course a great safety net in case you ever run into unexpected expenses.
However, there’s also a dark side to credit. Sometimes, people sign up for a credit card without fully understanding the ramifications. Young people especially fall into this trap. Soon, they may have a huge balance that they believe they’ll never be able to pay off. At this point, they may stop paying and dodge any collection efforts. An experienced recovery agency like Southwest Recovery Services can better educate them and work out an agreeable solution to paying off their debt.
Credit Card Debt Recovery Challenges
Credit card debt recovery may be difficult for the original creditor to achieve. This may be for a number of reasons. First, people who are relocating don’t typically make an effort to inform those they owe money to about the change or provide current contact information. In fact, they’ll likely avoid it. It’s also possible that credit card companies don’t currently have the staff, resources, or time to collect on outstanding balances due to the surge of high credit card balances during times of financial hardship and economic uncertainty.
Eventually, credit card companies must turn to a recovery agency to collect on outstanding debts. Credit card debts may pass through many hands. Debt purchasers may buy accounts from the original creditor, and try to collect on the debt themselves. This process may repeat itself many times over if no one is able to collect the debt. This strategy makes the original creditor lose out on funds, and may be an unnecessarily difficult process for cardholders.
Debt Recovery Solutions
SWR is different from other collection agencies. Like some other credit card collection agencies, we use excellent technology and have many years of experience. However, we also have outstanding tracking software to find people who are trying to outrun their debt. We also use an empathetic approach to recovering outstanding balances, which has proven to be quite effective. We work with cardholders to set up a plan so they can pay off their debt with less stress.
There’s no reason for credit card companies to sell off accounts for mere pennies on the dollar. Southwest Recovery Services is a contingency debt collection agency. That means we only take a small percentage of the dollar amount after we collect it. Our ethical and sympathetic manner to recovering debt has proven very efficient in the past. Not only will we be able to save you money, but we’ll create a positive experience for the cardholder. Then, they’ll be able to make payments and pay down their account, and you won’t lose a valued customer that may just be experiencing a temporary setback.