In the field of asset recovery, skip tracing is commonly used term by many. It is basically a tool that is largely used in the collections industry to find people with past-due accounts and whose contact information is not correct
This can take place, for example, if the debtor has shifted, and unable to provide the creditor with the latest information. In fact, the U.S. Postal Service reports that almost 75% of all mail recognized as “undeliverable-as-addressed” is from folks who have relocated and left no forwarding address.
Inaccurate contact information can be determined by various clues:
• Disengaged phone
• Wrong phone number
• Bounced mail
Skip tracers often must search through heavy amounts of publicly and privately available information, access to which must often be bought. However, most reputable collection agencies offer this access as part of their skip tracing services.
The skip tracing procedure tends to be both time- and labor-intensive, and thus requires dedicated expertise as well as access. Moreover, it is not a job for the inexperienced or untaught. If you don’t know what you’re doing, you can easily and inadvertently violate privacy laws.
The beginning point for most agencies are automated possessions they have through different vendor relationships. This allows collection agencies to rapidly find worthy information a new phone number or address.
A skip tracer will start to search the web for publicly available information. Any and all information is utilized: Uniform Commercial Code (UCC) filings, bankruptcy records, property details, title discovery, judgment liens, tax filings, and motor vehicle documents.
During the procedure, the skip tracer admittances many various resources and databases in a bid to collect the desired information:
• Phone number databases
• Change of Address databases
• Other public records
Eventually, the skip trace services professional may contact the consumer’s using old addresses, phone number or places of employment in order to fetch information.
Now, here is some interesting information about skip tracing service.
Almost 50% of people who move wish to setup home ownership, seek a fresh or less costly house or shift to a better locality.
30% of the folks who moved were couples who chose to move in together, get married or started a household. Other aspects include divorce and separations.
19% of people move due to a new job or job transfer.
Is your company’s collections department capable of asset searches and skip tracing service? If not, your staff will spend a lot of time spinning their wheels while they try to track down people who owe you money. The expense of wages, health benefits, etc., given to your employees to skip trace can rapidly add up. And, as told earlier, access to many informational databases must be bought. This can be expensive as well.
On the other end, collection reputed skip trace services companies work on a contingency basis. They’re only paid when they collect on a debt for you. More necessary, professional agencies know how to use the different resources to locate consumers quickly and more effectively.