Frequently Asked Questions
Plaza Services is the right debt buying partner for many creditors because we have decades of experience acquiring and recovering account balances. We use a consultative approach to assisting creditors with establishing internal processes to increase the value of account portfolios through enhancement of policies, documentation processes, compliance efficiencies, customer considerations and post-sale support.
Our experience extends across many different account types and asset classes including auto loans, consumer revolving and installment loans, fintech accounts and many others. Our executive team is deeply rooted in leadership positions in receivables management industry trade associations, keeping us on the forefront of changes affecting our business.
Plaza Services may use a variety of strategies to recover purchased debts. These strategies may include using collection agencies to make phone calls or send written or electronic correspondence to consumers in an attempt to contact them about the outstanding debt. In other cases, Plaza Services may choose to use law firm partners and legal remedies to recover account balances. Strategy decisions are based on many different criteria including the willingness of the consumer to amicably resolve the account, the balance, the state where the consumer resides, the agreement with the seller, and many other factors.
When selecting a debt buying partner, creditors should consider many different criteria including debt buying experience, compliance policies, data security safeguards, and post-sale support. Debt buyers should have experience and a deep understanding of the web of laws and regulatory requirements on a national level as well as the specific states in which the creditor originates accounts. Creditors often require debt buyers to complete comprehensive questionnaires (known as an RFI or Request for Information) to assess their compliance with various regulatory and data security standards.
Creditors should consider selling debt as part of a comprehensive and ongoing recovery strategy for distressed and charged-off accounts. By selling accounts, creditors are able to benchmark the value of their other collection strategies while creating immediate cash flow from otherwise difficult or stagnant accounts.
The process for selling receivables portfolios will vary based on the types of loans and the states in which you originate loans. Plaza Services assists creditors with a consultative approach to selling their accounts. We work with both creditors that have established processes for debt sales as well as creditors that have never sold before. We invite creditors to speak with our experienced team to discuss the process in more detail and establish a thorough plan to ensure we maximize the portfolio’s value while minimizing risks for both the creditor and ourselves.
