Cascade Collections, Inc.

This is how the collection agency functions for you. When your account is received at the agency, we are required to send a first notice collection letter to the consumer (s). This is merely a request for payment which puts the consumer (s) on notice that the collection agency has the authority to represent your business in the collection office for the collection of a claim, it also introduces the third party psychology which is a strong motivation in getting the account paid. Some people will respond with a payment after just the first notice.

If the first collection letter does not bring results, the collection agency will follow up either with another letter or with a personal telephone call. Most agencies prefer the telephone call at this point because of the extreme competition for the dollar and the necessity of moving rapidly if collection is to be realized. On the telephone, the collection agency will attempt to do two things:

1. Determine the problem.... just WHY hasn't the bill been paid?

2. Help the debtor find a solution to his/her problem.

These are the keys to a successful telephone collection call, and a skillful telephone collector can wade through a barrage of excuses to determine the real problem.

If the telephone collector is not successful in bringing the case to a conclusion on the first call, they will invite the individual to come into the collection office and discuss the claim. This involves discussion of the individuals financial situation, other obligations, possible sources of income, assets, and so forth.

Between 1/3 and 1/2 of the accounts that are referred for collection require the collection service to find information on people who have moved away and left no forwarding address. This means that before the collection procedure can start, the agency must skip-trace to locate the debtor and learn their new address. If the new address is out of our area, the agency by law will send one letter or perhaps make one long distance phone call before forwarding the claim to one of the 3,700 agencies who are members of ACA International. By doing this, the account has on-the-spot service in just about any community throughout North America and several foreign countries.

If a collector becomes completely satisfied that the account is uncollectible, they will either advise you of this or will put the account in a hold file. The file is checked periodically and the debtor re-contacted to see if their personal circumstances have changed in any way which would now make payment of the bill possible.

Some accounts are collected as much as five or even ten years later because of a consumer who was once destitute but has gotten a job, bailed themselves out of a deep hole and is now able to meet these financial obligations. Finally, what about costs? Most collection agencies work on a contingent fee basis. This means that if they are successful in collecting your accounts, they get a percentage of what they collect. If the agency is not successful, they are not compensated for the time and effort they have put in. Consequently, there is a strong incentive for the collection agency to exert every possible effort to make collection.

A collection agencies duties do not stop when a consumer (s) files bankruptcy.

Year	Total	Non-Business	Business
2010	1,572,597	1,512,989	59,608
2009	1,306,315	1,251,294	55,021
2008	967,831	934,009	33,822
2007	751,056	727,167	23,889
2006	1,484,570	1,453,008	31,562

Statistics are from the Administrative Office of the Courts

Bankruptcy filings rose 20 percent in the 12-month period ending June 30, 2010, according to statistics released today by the Administrative Office of the U.S. Courts. A total of 1,572,597 bankruptcy cases were filed in federal courts in that period, compared to 1,306,315 bankruptcy cases filed in the 12-month period ending June 30, 2009, however that does not mean additional monies will be received. Cascade Collections will file a proof of claim with the courts, providing the proper documentation is available, and will disburse any money received from the bankruptcy court to the creditors.