Debt Collection and Litigation Services
As a dedicated debt collection agency Pacific Mercantile provides their clients wiht a specialised debt collection service comprising of debt collection demand and negotiation, credit management, debt collection training and, if necessary and economical, litigation.
Debt Collection Demand and Negotiation
As your outsourced debt collector, Pacific Mercantile will provide a dedicated, specialised team focussed on achieving:
a. Full settlement
b. Discount settlement (approved by you)
c. Acceptable instalment arrangement
All accounts referred to Pacific Mercantile will be actioned the same day. An effective notice detailing the debt will be to bring the debtor's attention to the overdue account, and that it is in the hands of Pacific Mercantile debt collectors. Trained, professional staff using effective telephone techniques will contact the debtor. A debtor who responds positively will find our approach polite and inoffensive.
Collection and payment methods
• Direct payment to you
• Direct deposit into Pacific Mercantile's Trust account
• Credit Card payment - by telephone, over the counter or a returned authorisation
• Postal receipt of cheques or money orders to Pacific Mercantile
All moneys collected through Pacific Mercantile's Trust Account, when cleared, will be sent to you monthly, with the terms and conditions attached.
Pacific Mercantile will not deduct its commission from any payments made to you; we will issue a monthly account.
Communication and Reporting
Pacific Mercantile will provide as requested:
• Monthly recovery report
• Monthly collection summary
• Monthly account status
Litigation
Pacific Mercantile has the unique advantage of access to fully intergrated law firm who specialise in debt recovery and litigation.
Litigation is monitored by Pacific Mercantile staff dedicated to to the account to ensure the smooth process of the matter.
Pacific Mercantile provides an integrated system that is effective and efficient.
We are able to settle the majority of accounts without the need for litigation. We highlight that litigation does not guarantee the recovery of a debt. The cost of litigation is charged to the client at scale rates, and is largely recoverable from the debtor should we prove to be successful.
Credit Management
Pacific Mercantile assists their cleints with the formalisation of credit acceptance procedures, invoice design and production, internal credit collection policies and procedures, ledger management, and debt collection training.
This consultancy service will be invaluable to you, particularly if you do not employ a specialist credit manager. Your debtors ledger is possibly your largest asset and it is crucial to manage it effectively to optimise cash flows.
Consider this: a $1,000.00 loss on a margin of 7.5% requires an additional sales generation of over $13,000.00 to attain a break-even bottom line performance.
Pacific Mercantile can assist you with:
• Credit Acceptance
• Correct risk evaluation of new accounts
• Credit assessment techniques
• Correct use of external information providers
• Balance sheet evaluations
• Invoice design
• Collection Policies and Procedures
• Credit applications (design and usage)
• The use of personal guarantees
• Knowing your debtor
• Company and business searches
• Telephone and demand techniques
• Formatting and maintaining an effective credit policy
• Procedures to optimise collections
• Understanding your debtors
• Understanding the legal system
• Using external debt recovery providers
Training
Pacific Mercantile understands that not all businesses employ a credit manager. Therefore, we have designed a number of debt collection and credit management training courses designed to give you a better understanding of this aspect of your business. Particularly in the current economic environment, this form of training is invaluable.
We offer courses in any combination of the following:
• Collecting the debt and retaining the customer
• Overcoming objections
• Monitoring debtors
• Payment arrangements
• The litigation process
• ACCC-ASIC Debt Collection Guideline for Collectors and Creditors
• The Uniform Consumer Credit Code
• The Banking Code of Conduct
• Australian Banking Association Code of Banking Practice
• General Insurance Code of Practice
• Basic and Advanced Credit Management
• Basic Telephone Collections
• Location of Missing Debtors
• Cash Flow Management
• The Privacy Act
• Credit Applications
• Processing the Credit Application
• Assessing Credit Risk
• Accepting or Declining New Credit Customers
• Setting up Accounts
• What to do if things go wrong
If you are interested in finding out how Pacific Mercantile can train you in any of the above topics please email us at pacmerc@pacificmercantile.com.au.