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What does a Collection Agent do?

Photo of Brenna Goyette
Brenna Goyette
Certified Professional Resume Writer, Career Expert

Published 3 min read

A collection agent is a professional who is hired by a company to collect money that is owed to that company. The collection agent will typically contact the person who owes the money and attempt to negotiate a payment plan. If the negotiation is unsuccessful, the collection agent may take legal action against the debtor.

Collection Agent job duties include:

  • Locate and contact debtors to arrange for payment
  • Establish contact with debtors via telephone, email, or mail
  • Keep records of all contacts with debtors
  • Explain the terms of repayment plans to debtors
  • Negotiate repayment plans with debtors
  • Enforce repayment plans by initiating collection actions such as phone calls, emails, or letters
  • Keep updated on changes in collection laws and procedures
  • Maintain accurate records of payments and account status
  • Prepare reports on account status and collection activities

Collection Agent Job Requirements

Most collection agents have at least a high school diploma, although some jobs may require postsecondary education, and most agencies provide on-the-job training. Some states require collection agents to be licensed, and the International Association of Commercial Collectors offers a professional certification. Collection agents typically need at least a few months of experience working in customer service or another position that involves regular contact with the public.

Collection Agent Skills

  • Communication
  • Persuasion
  • Active Listening
  • Problem Solving
  • Time Management
  • Research
  • Organization
  • Prioritization
  • Multitasking
  • Stress management
  • Negotiation

Related: Top Collection Agent Skills: Definition and Examples

How to become a Collection Agent

Becoming a collection agent is not as difficult as it may seem. There are a few key steps that you need to follow in order to be successful.

1. Firstly, you need to have strong communication and negotiation skills. This is because you will be dealing with people who may be resistant to paying their debts. You need to be able to calmly and persuasively explain why they should pay what they owe.

2. You also need to be organized and detail-oriented. This is because you will be dealing with a lot of paperwork and data. You need to be able to keep track of all the information and follow up with clients in a timely manner.

3. It is also helpful if you are familiar with the law. This is because collection agents often have to deal with legal issues such as debtors who file for bankruptcy. Having a basic understanding of the law will help you navigate these situations more effectively.

4. Finally, it is important that you have a thick skin. This is because you will inevitably face rejection and resistance from debtors. You need to be able to handle these setbacks and continue working towards your goals.

If you have these qualities, then becoming a collection agent may be the right career choice for you!

Related: Collection Agent Resume Example

Related: Collection Agent Interview Questions (With Example Answers)

Editorial staff

Photo of Brenna Goyette, Editor

Editor

Brenna Goyette

Expert Verified

Brenna is a certified professional resume writer, career expert, and the content manager of the ResumeCat team. She has a background in corporate recruiting and human resources and has been writing resumes for over 10 years. Brenna has experience in recruiting for tech, finance, and marketing roles and has a passion for helping people find their dream jobs. She creates expert resources to help job seekers write the best resumes and cover letters, land the job, and succeed in the workplace.

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