All public agencies such as county, municipal, state, and federal need money for a variety of services such as school budgets, roads, police and fire services. Debt collection agencies play a very vital role in the government’s financial ecosystem, recovering money from the past due accounts.
Government debt collection on past due accounts can be for speeding tickets, property taxes, unpaid water bill, IRS / Income taxes, parking fines, related to emergency services, municipal fees, returned checks, toll taxes, court collections and other unpaid fines and taxes.
Generally in government collections, the fees charged by the collection agency plus the applicable interest is added to the original principal amount so that government agency does not lose any amount in collections cost.
A third-party debt collection service is assigned an account typically after the consumer has received at least one notice from the government before a debt ends up in collections.
There are a minimum standards which a government debt collection agency has to follow:
1. Collections approach should be diplomatic, ethical and empathetic.
2. Ability to process large account volumes.
3. Follow FDCPA rules and other laws and regulations that may apply.
4. Dedicated government subject matter experts and low complaint rate.
Contact us for your debt collection needs.