Having spent 32 years in the collection industry and most of them in the skiptracing field, I felt compelled to write this. I have heard from many collection managers that skiptracing is a waste of time and does not generate any income. That statement is the furthest thing from the truth.
If a company is willing to invest some time into skiptracing it could become a very large profit center for your company. If you have designated individuals doing nothing, but skiptracing and collectors doing nothing, but collecting then you could have a very profitable company.
Skiptracers are very unique, creative and do not think in a bubble. If an account has return mail, unlisted phone numbers and basically no way to reach a debtor, then how will you reach that person. Yes the collector will do a very cursory skiptrace. They may check http://www.whitepages.com. That does not always help, but that is as far as they will go.
Do you want to make money? I know that my company does. A skiptracer will go above and beyond to locate their subject especially if if it is a higher balance account.
These days everyone has a phone number. It could be a landline or a cell phone, but someone has that number. The skiptracer will find it. If an account has a balance of $45,000 and a non published number, do you not think that it deserves a through investigation?
Collectors work on an hourly rate + commission so they have an incentive to collect. Well skiptracers can be paid hourly too and get a commission perhaps of 1% of gross collection on their locates. I know that when I was with an agency that was what I got. Imagine a $4500 commission. Any agency owner should be thrilled to pay out that money. I know Iwould be.