Credit Collections FAQ
Credit collections are a crucial part of any business. Equally as important as collecting past due revenues, is collecting in accordance with the law, and in a way that strives to maintain a good customer relationship with the debtor. The DātaMax Corporation team are experts in credit collections, and we are pleased to answer any questions you may have. We have provided some of the questions we are frequently asked below. (To view, click on each question and the answer will be displayed.)
Credit Collections FAQ
Our Service Agreement does not require that our clients use us for a minimum period of time. Our clients stay with us year after year because they are pleased with our services, not because they signed a multi-year commitment to do so.
The Fair Credit Reporting Act stipulates that negative information, such as collection accounts, may remain on the credit files for 7 years from the date of the last delinquency where it never returned to a current status, or the date of service, not the date it is placed for collection.
Accounts can NOT be re-listed - credit bureaus look at the date of service on the account and not the list date. Accounts must be removed 7 years from the date of service.
Clients wishing to have access to their accounts information may sign up for Client Access Web (CAW), a free, secure internet connection from our website. Clients are able to pull an Active Inventory Report through CAW. We ask that you check this report for accuracy after placing new accounts for collection. When there are payments made on accounts (made to either your office or ours), you will receive an Activity Statement by mail showing such activity.
Yes. We have a number of commercial clients and gladly accept business-to-business accounts. Delinquent commercial accounts are reported to Experian’s Business Credit Reports and Dun and Bradstreet.
Accounts that are unpaid within 35 days of our initial collection notice are reported to all three major credit reporting agencies. Some activities, such as dispute verifications, may delay the reporting but will not stop it altogether. There are also service options available that don’t involve reporting accounts to the credit file.