GrindStone runs an 83% yield for collecting at least one payment in the first 30 days
Chandler, AZ (PRWEB) January 31, 2013
Since the company’s inception in 2009 GrindStone Collections has been reporting referred placements to Experian as a consequence for companies that do not pay in a timely manner. Many companies who are placed for third party collections are so far into debt (or already out of business) that a negative credit report does little (if anything) to prompt them to pay. However, GrindStone has recently reported that companies who are still in business, with past due invoices aged less than six months, are three times more likely to pay in the first 30 days of collections when faced with the consequence of negative credit reporting.
“Most active companies, when placed into collections, are in collections because they are prioritizing their debts. They are paying those that they absolutely have to pay, and stringing along the less important or urgent matters” says Joshua Monda, GrindStone’s VP of Sales & Operations. “When we get an account placed for collection our collectors warn the debtor company that they have 30 days from the date of placement to start making payments or else their balance will be reported to Experian as a collection account. For small to medium sized companies, a ding like this on their business credit report can instantly bring their credit score down dramatically to a high risk category.”
Mr. Monda states that GrindStone runs an 83% yield for collecting at least one payment in the first 30 days for companies who are in business with invoices less than six months past due. He attributes this to professionally aggressive collections with negative credit reporting consequences.
GrindStone Collection Strategies, Inc. will report any debtors who do not pay in the first 30 days of collection assignment to Experian at no additional charge to their clients. “The great thing is, even if credit reporting does not prompt payment from our client’s customer, we are still helping prevent other companies from selling to a high risk entity and losing money in the long run” claims Joshua Monda.
About GrindStone Collection Strategies, Inc:
GrindStone Collection Strategies, Inc. is a licensed and bonded AR management and debt recovery firm operating out of Chandler, AZ and Vancouver, WA. GrindStone is a reseller and contributor to Experian Business Reports and partners with attorneys and financial consultants throughout the country. They have an A rating with the BBB.