Most managers just assume their seasoned A/R staffers can distinguish between what’s true and what’s simply a myth. But you’d be surprised how many “collections myths” are still regarded as pure fact.
Believing these myths could end up hurting your company in a number of ways — from performance problems to legal issues.
Collections veteran Brett Sivits highlighted 10 of the most common falsities in “10 Myths Your Collectors May Still Believe.” Here are two of the most common:
1. Yesterday’s successful tactics are just as effective in today’s collections’ climate. This happens all the time with collections pros. Sure, most of the same principles hold true for today’s collectors. But the economy and a litany of legal changes are just a few of the reasons why yesterday’s tried-and-true strategies just won’t cut it now.
2. Collections is “above” dealing with customer service issues. Fulfilling customers’ needs is a vital part of every A/R staffers’ job. The better-equipped your collectors are to fulfill a customer’s need or alleviate a concern, the sooner you’re likely to get paid. However, if A/R shuns a customer service perspective, the greater the chance of poor collection rates, increased complaints — and even lawsuits.