Debt Collectors Busy Nowadays But Discovering More Can't Pay

[Purveyor]

Debt collectors don't expect any sympathy.

But they're not having an easy time of it these days.

When the economy tanks, more people fall behind or miss payments on credit cards and bills. As a result, debt collectors have to make more calls and it's harder for them to collect.

``We're like everyone else -- treading water,'' said Marti Jenkins, co-owner of Professional Business Bureau, 821 Greenwood Ave. ``It's great to be busy.

``I wish there was money to go with it.''

Debt collecting is big business in our pro-spending, anti-saving economy.

A recent survey commissioned by the International Association of Credit and Collection Professionals found that in 2007 the debt collection industry's efforts resulted in the return of $40.4 billion to creditors.

Obviously, debt collection is good for creditors, but it is also good for consumers. If fewer people paid their debts, businesses would have to raise their prices to make up the difference. The survey found that the $40.4 billion returned to creditors in effect saved each U.S. household $354.

Michigan's unique economic situation -- the highest unemployment in the country and the prospect of it rising higher, given the struggles of the auto industry -- is an obstacle for debt collectors.

Tom Oldani, chief operating officer of the Ann Arbor Credit Bureau and a member of the international association's board of directors for Michigan, said the most common response his collectors hear is, ``Do you live in Michigan?''

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Jackson Cit Pat: http://www.mlive.com/news/citpat/index.ssf?/base/news-27/1231430732196390.xml&coll=3

[KansDem]

1. Just tell them you're waiting for your part of the bailout...

And you'll send them the money just as soon as Congress cuts loose the funds.

[Hydra]

2. Gee, no jobs, what could be the problem? n/t

[melm00se]

3. having been a collector is a previous

career and having worked thru tough times, the "nice" approach works a lot better, in the long run, that the "prick" approach because once the economy turns around, most folks want to pay what they owe and those that get paid 1st are the nice ones.