Call scripts provide a complete framework for the conversation. But just having a script isn’t enough—following the FDCPA rules throughout the process is essential. In addition, following proper strategies before the call, post-call and later follow-ups make everything smooth.

Preparation Before Making a Debt Collection Call

Start by collecting all the necessary details about the debtor. Check their account and find their payment history, outstanding balance, and due dates. After looking at the debtor’s history, you’ll get a clear perspective about the debtor.

In addition, decide the objective of your call. Do you want to call for securing a payment, confirming the debt, or negotiating a repayment plan? Last but not least, be prepared with the script. A well-written script addresses typical objections, such as disputes about the debt, claims of financial hardship, or requests for more time.

Key Components of Effective Call Scripts

The FDCPA Annual Report 2023 says that some debt collectors acted in ways during calls that were meant to harass, oppress, or upset the people they were speaking with. To avoid this, here are the key elements that your script should include, according to FDCPA guidelines:

• Verifying the information - Start the call by introducing yourself and your organization. After your introduction, verify the debtor’s identity by confirming details like their name, address, and account information.
• Communicating the purpose - Communicate the objective of the call clearly and professionally. Also, show your empathy for the debtor’s situation

• Offering flexibility - Provide the debtor with flexible repayment options, such as installment plans or adjusted timelines.
• Preparing for responses - Be prepared with the responses for common questions or concerns, like if the debtor disagrees with the debt or struggles to afford payments.
• Recording call details - Record the essential insights from the call, like the agreements made, concerns raised, and follow-up actions, and keep them for future reference.
• Selecting a suitable time - Choose an appropriate time for the call. Also, consider the debtor’s availability during your chosen time.

Sample Call Scripts Tailored for Common Scenarios

Here are the B2C collection call scripts created as per the FDCPA guidelines. The third-party debt collection agencies can adjust these scripts according to your circumstances.

1. When a Customer Forgets to Pay

You: Good morning; this is Richard from XYZ Collection Agency. This is an attempt to collect a debt. Can I confirm that I’m speaking with [Debtor's Name]?

Debtor: Yes, this is [Debtor's Name].

You: Thank you. I’m calling regarding your account with [Creditor Name]. Our records show a past-due balance of $[Amount].

Debtor: Oh, I’m sorry, I forgot to pay.

You: I understand, it happens. Would you like to resolve this now with a payment over the phone?

2. When the Customer Claims Bill is Not Received

You: Hello, this is Richard from XYZ Collection Agency. I’m attempting to collect a debt on behalf of [Creditor Name]. Can I confirm your name?

Debtor: Yes, I’m [Debtor's Name].

You: Thank you. Our records show a past-due balance of $[Amount]. You mentioned you didn’t receive the bill?

Debtor: That’s correct.

You: I understand. Let me verify—your address is [Debtor's Address], correct? I’ll also resend the bill electronically. While I’m doing that, are you able to make a payment now?

3. Addressing Incorrect Bill Issues

You: Hello, this is Richard from XYZ Collection Agency. This is an attempt to collect a debt. Can I confirm your name?

Debtor: Yes, this is [Debtor's Name].

You: Thank you. I see a past-due balance of $[Amount]. You mentioned the bill might be incorrect. Could you explain the issue so we can resolve it?

Handle either valid errors or misunderstandings empathetically and provide a resolution during the call.

4. Handling Financial Hardship

You: Hello, this is Richard from XYZ Collection Agency. This call is an attempt to collect a debt. Can I confirm I’m speaking with [Debtor's Name]?

Debtor: Yes.

You: Thank you. I’m calling regarding your account with [Creditor Name]. The balance due is $[Amount].

Debtor: I’d like to pay, but I’m facing financial difficulties.

You: I’m sorry to hear that. We want to help. Let’s discuss options. Would a partial payment plan or payment plan work for you?

5. Right Party Contact (RPC) Verification

You: Good morning, my name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name].

You: Thank you. For your security, can you confirm your address or the last four digits of your Social Security number?

Debtor: [Confirms details].

You: Thank you for verifying. Please note this is an attempt to collect a debt, and any information obtained will be used for that purpose.

6. Dealing with Approval Problems or Second Attempts

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name].

You: Thank you. I’m calling regarding a payment for your [product/service], which is currently overdue.

Debtor: I’m sorry, but I haven’t been able to pay because I need to check with my spouse/parent/partner first.

You: I understand. Sometimes, these things take time. Do they have any specific questions about the bill that I can help answer?

Debtor: Not that I know of.

You: Alright, thanks for letting me know. I’d appreciate it if you could follow up with them as soon as possible.

Debtor: Sure.

7. Calling on Customer’s Voicemail

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. I want to remind you that your payment for [product/service] is past due. Our records show an outstanding balance of $[amount].

We’ve tried reaching you multiple times over the past two weeks but haven’t heard back. Please call us at your earliest convenience to update us on the payment status or to discuss any questions you might have.

Thank you for your time, and we look forward to hearing from you soon.

8. Payment Already Made

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name]. But why are you calling? I’ve already made the payment.

You: Oh, I see. Let me quickly check the payment details in our system. Do you recall when you made the payment?

Debtor: I think it was last week.

You: Got it. Thanks for letting me know. I see the payment has been received. I appreciate your promptness. Thank you, and have a great day!

9. When a Customer isn’t Available

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name]. But I’m not in a position to make the payment right now.

You: No problem. I understand you must be busy. If it helps, we can process card payments over the phone when convenient for you.

Debtor: I will be free tomorrow and take care of it then.

You: That’s completely fine. I’ll make a note in our system to expect the payment tomorrow. Thank you for letting me know.

10. Collecting or Reminding Customers of Payday Loan Due Date

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name].

Debtor: Oh, sorry, I got busy and forgot to pay.

You: No worries. I completely understand that things get busy. Are you in a position to make the payment now?

Debtor: Yes, I can do that.

You: That’s great, thank you!

If the customer asks for more time,

Debtor: Can I borrow some more time?

You: I understand. However, late payments could affect your credit score and lead to additional fees or other complications. I encourage you to pay as soon as possible to avoid those issues.

11. Offering a Settlement

You: Good Morning. My name is Richard, and I’m calling on behalf of XYZ Collection Agency. Before we proceed, I need to verify I’m speaking with [Debtor's Name].

Debtor: Yes, this is [Debtor's Name].

You: Thank you. I’ve got some good news for you.

Debtor: What’s the good news?

You: We’ve been authorized to offer you a one-time settlement of [Amount], which is [X]% of your total debt. If you accept, this will clear your entire balance. This special offer is available for the next [Time Period].

Debtor: That sounds great!

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Top Techniques for Productive Conversations

According to Superoffice, 86% of buyers are willing to pay more for a great customer experience. To increase your debt recovery chances, start your call with confidence & a friendly greeting to set the tone. You can use a human touch, like calling the debtor’s name or inserting personal elements from past conversations. In addition, be an active listener and listen carefully to their concerns or objections.

Once you find out the common ground, you can address their needs. Moreover, you need to be patient and have the right attitude. Keep the conversation focused & goal-oriented while being mindful of the debtor’s time.

Avoid unnecessary delays and guide the discussion toward resolving the issue promptly. Remember to start the collection activities before the due date to avoid potential problems.

Common Debtor Excuses and How to Handle Them

You’ll often find debtors making common excuses during the debt collection call. Handle those excuses with empathy and understanding. Here are some common excuses and their suggested responses:

• Excuse - “I never received the invoice from your side.” 

Response - Email the invoice immediately and confirm whether they received it.

• Excuse - “I am not the right person to contact for payments.” 

Response - Obtain the name of the person responsible for payments, along with contact details. Ask the current person to pass along your contact information to the other person.

• Excuse - “I am facing cash problems right now.” 

Response - Provide them with a payment plan or see if you can take partial payment on the same day.

• Excuse - “I was busy, so I forgot to pay.” 

Response - Recognize that it happens and work to secure payment or a promise for prompt payment.

Post-Call Documentation and Follow-Up

First and foremost, you should document all the details discussed during the call, including any agreements, next steps, and critical points raised by the debtor. Once you’re done with the record, you can send a follow-up text or email summarizing the discussion and agreements on the call.

According to the CFPB Survey, 20% of consumers complained about being contacted by debt collectors four to seven times weekly. Another 17% claimed a creditor or debt collector tried contacting them eight or more times per week. So, avoid calling your customers frequently, multiple times a week.

Take a moment to evaluate the call. Reflect on what went well and identify the areas for improvement. In addition, you should use technology for better results.

Conclusion

Effective debt-collection call scripts ensure smooth and professional interactions with debtors. You should continuously refine your scripts according to the specific circumstances of each call. Make sure you’re following all the FDCPA guidelines throughout the process. 

Always be positive while talking to the debtor and provide them with helpful solutions. For instance, if you find their concerns genuine, try making different arrangements like part-time payments or even extending the repayment date.

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FAQs (Frequently Asked Questions)

1. What is the collection process?

The collection process works to recover unpaid debts or overdue customer payments. It ensures the customer pays what they owe while staying professional and following legal and ethical rules.

2. What is an example of a collection call script?

An example of a collection call script is -

Hi [Debtor Name], this is [Creditor Name] from [Creditor’s Company]. I'm calling you regarding your overdue invoice [invoice number] for [amount due], which was due on [due date]. I wanted to check in to see if there was any reason for the payment delay and if there's any way we can assist.

3. How do you talk to customers about a collection?

You can follow specific tips to talk to customers on a collection like -

• Use a low-pitched voice.
• Take pauses while speaking.
• Try to speak slower and enunciate.
• Ensure that you pronounce the ending consonants of words and don't slur.
• Avoid chewing gum or drinking when you're on the call.

4. What is the first collection notice?

When debtors aren’t able to pay their invoices on time, creditors send a series of collection letters. The first collection notice politely reminds debtors of the overdue invoice. In addition, it also includes information on how much they need to pay & when they should do so.