The collection agency I swore off actually saved my bacon

I had a customer in Reno who owed me $2,800 for six months of handyman work. I refused to use a collection agency because I thought they were all scams that took half your money. Finally I tried one that charged a flat $45 fee and took 25% only if they recovered. They got the full amount in three weeks, no drama. Has anyone else had a good experience with a low-fee agency or am I just lucky?

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1 Comment

xenam8419h ago

Swore off collection agencies because they take half your money" is a pretty common take, but honestly the math on that is usually way off. Most legit agencies charge way less than that, like 20 to 30 percent, unless you're selling the debt outright. The flat fee plus 25% only on recovery is pretty standard, not some rare unicorn deal. Tbh the bigger scam is the ones that want a big chunk upfront with no guarantee, not the ones that work on contingency. You just got burned by a bad apple before, or maybe you never actually looked past the horror stories. Ngl, your customer probably paid because they finally saw a real threat, not because the agency did anything magical.