Brennan & Clark The Triage of Collecting Definition • Brennan & Clark defines “Collection Triage” as follows: The evaluation and classification of collection accounts for purposes of recovery. It consists of the immediate sorting of accounts to establish an action plan that assures our customers the greatest possible recovery on their delinquent accounts. Collection Triage DOA Delayed Immediate Collection Categories Immediate - used to describe those collection accounts that are in business with valid phone numbers. Delayed - used to describe those accounts where further skip tracing is required to find an alternate phone number or point of contact for the debtor/debtor company. DOA - used to describe those accounts that have no working phone number and are out of business. Immediate Collections • Make contact and respond to debtor’s statement: » Ignorance of Incident » Overcome with Details of the Dispute » Reiterate procedures & Steps Taken » Dispute without Merit » Overcome with Details of the Dispute » Review Contract Terms » Reiterate procedures & Steps Taken » Claiming Poverty » Identify True Cash Situation (Payroll, Rent, Phone) » Review Cash Allocation Issues » Evaluate & Establish Realistic Payment Schedule » Commitment to Pay » Ensure Debtor is not dismissing/ignoring the situation » Convey Seriousness to Resolve the Issues » Negotiate Realistic Payment Plan (within guidelines) » Request Promissory Note be signed » Refusal to Cooperate » Extend Ultimatum » Point out the Natural & Logical Consequences of this behavior » Create environment where cooperation is seen as the simpler » resolution to the situation » Dispute with Merit » Easily Identified - Supported by Facts » Available Corroboration Evidence Delayed Collections Claims received locate phone # locate fax # confirm legal entity obtain match for address or obtain through batch process to SOS to name through batch internal system obtain officer info system personal verification follow up on of info potential leads to collection cycle asset search judgment professional search skip to collector for follow-up DOA Collections • Once an account has gone through the skip tracing cycle and there is still no valid contact information it is determined to be uncollectable. • This decision is made only after we verify that there is no address or phone number for the debtor/debtor company. Brennan & Clark, Ltd 721 E. Madison St. Villa Park, IL 60181 800-858-7600 www.brennanclark.com Our mission is to rise Beyond Collections by providing customized receivable support solutions that eliminate credit losses.