Finance
Skip-Tracing: Locating Debtors Who Have 'Skipped' Town With Your Money
Skip tracing is a technique usually employed by debt collection agencies to track down bad debtors looking to evade payment of debt. Hence skip tracing forms an integral part of debt recovery solutions.
Skip tracing can be literally defined as the technique employed to trace and locate persons who have intentionally or non-intentionally vanished without leaving behind a trail. Such an act of absconding can be due to evasion of financial or legal liabilities.
The factors that are critical for skip tracing include the nature of the case pertaining to which the person is to be located, the time elapsed since last recorded location, resources that may be relevant in tracing, and also the most likely whereabouts of the absconding person.
Collection agencies adopt the following techniques for skip tracing:
Past data or information assimilation. Collection agencies try and collect as much relevant information about the person as possible. This includes:
Identity Details
i. Person's name
ii. Spouse's name and occupation
iii. Social security number
iv. Date of birth
v. Address details
Occupational Details
i. Educational and occupation certifications
ii. Employment details
Documentation Details
i. Driver's license
ii. Passport
iii. Credit report from credit bureaus
Verification of existing records.
All the above-acquired information is verified by collection agencies for authenticity and for exploring any further linkups to new information. Collection agencies, then, employ mining techniques such as tracking credit card transactions, insurance inquires, judicial documents, criminal records, notices from revenue departments, etc. Also used in skip tracing are:
Techniques such as making use of Internet search engines, email directories, public records, etc also help collection agencies in skip tracing
Credit bureaus are the best place to locate the absconding debtor as these agencies maintain their demographic information and their credit history.
Collection Agency Services offers you a wealth of information on how to select the best collection agency for your business. |
Steve Austin
Tags: skip-tracing, collection agency, collection agenciesSimilar articles
Save Money With Financial Homework
Americans like choice, but it isn't always that great of a thing. For example, have you ever been frustrated when no one wants to make the decision of where to eat? Read more →Second Mortgage With No Equity ? Is It Possible
Can you actually get a second mortgage with no equity? Is it possible to get a second mortgage against your home without having built up any equity? When should you get a second mortgage if you have no equity? Read more →Small Business Finance
Every organization regardless of its size and mission may be viewed as a financial entity. Management of an organization, particularly a business firm, is confronted with issues and decisions that have important financial implications. Read more →Start Saving for Retirement Now
Retirement isn't as far away as you may think it is. Studies into the way our brains age indicate that as we age, time actually does move faster. Or at least it does for our brains. Read more →Aphorism
Albert Einstein was once asked, "What is the most powerful force in the universe?"
Albert Einstein