We are independent & ad-supported. We may earn a commission for purchases made through our links.

Advertiser Disclosure

Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.

How We Make Money

We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently from our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.

How do I Become a Collection Agent?

Mary McMahon
By
Updated May 17, 2024
Our promise to you
WiseGeek is dedicated to creating trustworthy, high-quality content that always prioritizes transparency, integrity, and inclusivity above all else. Our ensure that our content creation and review process includes rigorous fact-checking, evidence-based, and continual updates to ensure accuracy and reliability.

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

Editorial Standards

At WiseGeek, we are committed to creating content that you can trust. Our editorial process is designed to ensure that every piece of content we publish is accurate, reliable, and informative.

Our team of experienced writers and editors follows a strict set of guidelines to ensure the highest quality content. We conduct thorough research, fact-check all information, and rely on credible sources to back up our claims. Our content is reviewed by subject matter experts to ensure accuracy and clarity.

We believe in transparency and maintain editorial independence from our advertisers. Our team does not receive direct compensation from advertisers, allowing us to create unbiased content that prioritizes your interests.

No special training or certification is required to become a collection agent, with most agents learning through on the job training. There are some tips which can help people pursue careers in collections and find work within this field which appeals to them. Anyone who wants to become a collection agent should be aware that this work can be very demanding and draining, as interactions with debtors can be unpleasant.

One of the best ways to become a collection agent is to start working in the accounts receivable department of a company. This type of work can familiarize people with billing methods and get them comfortable with sending out bills, interacting with clients, and dealing with past due accounts. People can also start working for a collection agency immediately with no prior experience, in which case training will be provided on the job.

Someone can become a collection agent for a first party agency, meaning that he or she collects bills owed to the company the agent works for, or a third party agency. Third party agencies collect bills on behalf of other people, and they usually take their payment in the form of a commission. Commission work encourages collection agents to recover as much as possible, and it may mean that agents cannot negotiate with debtors, as they must collect the bill in full.

Some collection agents specialize in handling bills as they are due. This type of work tends to be less demanding, as it simply involves sending out bills, processing payments, and referring past-due customers to a collection agent who handles past-due accounts. Collection agents who work with past-due customers need additional skills, like the ability to track down debtors. They will also need a contract which entitles them to collect debts if they work for a third party organization.

Part of the training a collection agent receives includes discussions of the laws surrounding collections, including whom they may call in the course of collecting on a debt, when they can call, and what kind of information they can share. Someone who is interested in working as a collection agent may want to buy a handbook which covers these laws so that he or she can be familiar with legal restrictions. This is especially important for someone who wants to become a collection agent and work independently.

People usually start working independently after they have experience in the industry, and after they have established. These collection agents can work from home and set their own schedules, which may be more convenient. They also usually need business licenses, because they are operating businesses, and they need to be familiar with the letter of the law so that they do not inadvertently violate the law. A collection agent who violates the law can be vulnerable to suit, and the debt may be negated if someone tries to collect on it illegally.

WiseGeek is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.
Mary McMahon
By Mary McMahon

Ever since she began contributing to the site several years ago, Mary has embraced the exciting challenge of being a WiseGeek researcher and writer. Mary has a liberal arts degree from Goddard College and spends her free time reading, cooking, and exploring the great outdoors.

Discussion Comments

By pcsirk — On May 22, 2011

I can also recommend National Collection Agencies. These two services have given our company a lot of help.

By pcsirk — On May 22, 2011

I prefer to deal with an international collection agency instead of doing it in house. It saves a lot of time and dealing with customers first hand is very tedious for our staff, especially when they refuse to pay us.

Mary McMahon

Mary McMahon

Ever since she began contributing to the site several years ago, Mary has embraced the exciting challenge of being a...

Learn more
WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.

WiseGeek, in your inbox

Our latest articles, guides, and more, delivered daily.