Ifugao State University
College of Business and Management
BS BUSINESS ADMINISTRATION
CALL COLLECTION
Final Activity 1.1
The collection call to an overdue customer may not
be the favorite part of a credit controller’s job,
but…it’s inevitable.
Although it may be seemingly simple to pick up the
phone and request payment, credit control phone
calls require a great deal of strategy, tact, and
empathy.
Do collection calls work?
For example, at eazyCollect they confirm that the
collection call works! Their users who add a
phone call to their communication plan to overdue
customers have great success in collecting
payment immediately following a telephone call.
Why?
➢ A phone call allows you to build a connection and most
importantly, trust. That can be really complicated to do with
text.
➢ If call collection is done right, phone calls can result in a
prompt payment.
➢ The collection call is a prime opportunity to save a declining
relationship with your buyer/debtor.
➢ With a developed guide how to do and what to say during a
collection call the collector in charge can get straight into
the most effective way to get the payments the agency
deserve with the first class telephone collection call skills!
If collection is part of your job responsibilities in the
future, here’s some good news. You can become more
comfortable and more successful by following a few
guidelines of call collection.
1. Always be prepared – Generally and specifically
NASCAR great Bobby Unser is accredited as saying,
“Success is where preparation and opportunity meet.”
We couldn’t agree more. You can never be over-
prepared when it comes to tackling a collection call.
❑ when there is full preparation for something and
opportunity to do anything possible then the success
will surely come to you.
First things first: In order to collect payment as
efficiently as possible,
➢ ensure that you do your research and ask to speak
with the right person in the business.
➢ This may be the business owner, the financial
controller, or the external bookkeeper.
➢ Introduce yourself by name and the company you
are calling from.
➢ If you are leaving a message with someone in the
business who has no function in accounts, don’t
disclose that the call is about unpaid invoices.
Simply request a call back by the end of the day.
Be ready to handle excuses
➢ Write them down on file cards or include them in
your computer scripting.
➢ Group them by category and keep them handy.
Exchange ideas with others in your department.
Then, when the customer tries to end the call by
offering an excuse, you can take control by
countering with a well-thought-out reply and
returning to the purpose of your call — collecting
the debt.
Arm yourself with the facts
➢ Having the facts in front of you keeps you in control. You
don’t want the conversation to get disrupted by a question
you can’t answer.
➢ Many customers know how to use this to their advantage.
Suddenly they can’t discuss payment on their account
without details you don’t have and they don’t “have in
front of them” either.
If you hear yourself saying, “I’ll have to get back to you on
that,” you’ve just given the customer an extension without a
commitment to pay ” and you’ll have to start from square
one with him when you call back.
➢ At a minimum, be sure to have the following in front of
you before you make the call:
➢ Know who you’re calling
➢ Exact amount owed
➢ Terms of sale/loan
➢ Products/services purchased
➢ Payment due date
➢ It’s also helpful to brief yourself on the customer’s payment
record with your company, as well as any other payment
history you may have available to you. Do they usually pay
on time? Are payments getting slower and slower? Is past-
due payment uncharacteristic of this customer?
2. Think Positively
Your mental state has a strong impact both on how you
handle the debtor and how they respond to you.
➢ Treat each call as if it was your first call of a very good
day.
➢ Put a smile on your face.
➢ If you were irritated on the previous call, take a few
minutes to calm yourself and start afresh.
➢ The customer will respond to your tone.
➢ Your upbeat mood will be contagious and you are
likely to get a more positive response from the
customer.
3. Speak professionally and authoritatively
➢ The tone, pitch, modulation, and even the speed at which
you talk can have a powerful influence on your listener.
Think about typical news anchors or radio commentators.
➢ They have voices that command attention.
➢ With a little effort, you can develop one too.
➢ Try recording a general collection call opening and then
listen to yourself. Make adjustments as needed, and try
again.
➢ This will not only improve how you come across on the
phone, but it will also build confidence.
➢ It does take a little time and extra work, but remember,
success is strongly linked to preparation.
Here are a few hints that might help:
➢ Don’t chew gum or drink when you’re on the phone
➢ Speak a bit slower
➢ Use a lower-pitched voice
➢ Pause more often
➢ Make sure you pronounce the ending consonants of
words and don’t slur
➢ Smile while you talk — although the person on the
end of the line can’t see it, they will hear it; and
everyone responds more openly to a smile than to a
scowl
Adhering to these simple tips will greatly improve your
call skills and give you the authority to command the
conversation.
4. Take control and don’t let go
You can manage the call in such a way that you
control the customer’s response. In addition to what
we already mentioned about preparation and voice,
here are some other tricks of the trade:
➢ Address the customer by name throughout the
conversation. This shows respect on your part
and commands their attention. Be careful not to
overdo it though, or it will start to sound
contrived and annoying.
Make the customer right, even when they are
wrong. You may not agree with what they’re saying,
but you can still validate it.
After an objection or excuse, say, “I can understand
why you feel that way.” Or, “I can certainly see how
something like that might happen.”
Validating what the customer has to say maintains
open lines of communication. Understanding their
point of view, even as you share yours, will disarm
the customer’s defensiveness.
Listen carefully and take notes. You will get clues
as to whether the customer is serious about paying.
You’ll also have ammunition for your next call and will
be ready to counter any excuses that may have been
tried in the past.
Use silence. Count slowly to five before responding to
a customer statement, and wait several seconds after
asking a question. Leaving blank spaces in the
conversation compels the debtor to fill them in.
Stay focused. Some customers will try to get you off
track by complaining about service, or somehow shifting
the blame for their delinquency to you. Be polite, even
validate their opinion. But always bring them right back
to the point of your call — getting paid the money
rightfully due to your company.
Don’t let the customer manipulate you.
➢ A screaming customer could be using anger as a ploy to
get you upset and end the conversation. At the very least,
you’re not going to get anywhere with someone that’s
angry.
If a customer starts yelling or using abusive language, stay
calm.
➢ Try reminding them that you cannot help resolve the
situation if they are yelling. If that doesn’t work, say
something like, “This obviously isn’t a good time for you.
When can I call you back?”
You could also try a tactic one of ABC-Amega’s collectors
employs. Say, “Could you hang on a moment? I can’t
understand what you’re saying.” Put the phone down for
several seconds, then pick it up again stating, “I’m back.” That
few seconds of silence will often calm the customer down
enough so that you can carry on with the discussion in a more
reasonable manner.
5. Nail Things Down
A call that doesn’t result in a commitment from the customer is
a wasted call. If you can’t get them to commit to payment in full,
get a promise of something — a partial payment or a call back
with a payment date. Make sure you control the timing. Don’t
ask, “When can you get back to me on this?” Rather, ask “Will
you be calling me by Wednesday?”
Don’t hang up the phone without summarizing the results of the
call. Review their commitment, your expectations, and the
consequences if your expectations are not met. Emphasize the
urgency of the matter. It’s easy for the customer to forget what
you’ve agreed upon as soon as the call ends, especially if they
don’t think you were really concerned about the outcome.
Stress the importance that the customer call you back on the
date they promise payment — to let you know the check has
been sent. If they fail to call, the payment likely didn’t happen.
You won’t waste time waiting for a check that was never mailed.
And finally, if the customer doesn’t follow through on their
commitment, make sure you follow through on the
consequences. If you don’t, they will never take you
seriously.
6. Learn to be Flexible
Following the above advice will help improve the
effectiveness of your collection calls, but there is no magic
formula in debt collection. Every customer is different.
What works really well with one, may get you nowhere
with another. Listen carefully to the customer and you will
pick up clues for the best way to handle each situation.
The collection call to an overdue customer may not
be the favorite part of a credit controller’s job,
but…it’s inevitable.
Although it may be seemingly simple to pick up the
phone and request payment, credit control phone
calls require a great deal of strategy, tact, and
empathy.
Do collection calls work?
For example, at ezyCollect they confirm that the
collection call works! Their users who add a
phone call to their communication plan to overdue
customers have great success in collecting
payment immediately following a telephone call.
Why?
➢ A phone call allows you to build a connection and most
importantly, trust. That can be really complicated to do with
text.
➢ If call collection is done right, phone calls can result in a
prompt payment.
➢ The collection call is a prime opportunity to save a declining
relationship with your buyer/debtor.
➢ With a developed guide how to do and what to say during a
collection call the collector in charge can get straight into
the most effective way to get the payments the agency
deserve with the first class telephone collection call skills!
If collection is part of your job responsibilities in the
future, here’s some good news. You can become
more comfortable and more successful by following
a few tips from the collection pros on our staff.
1. Always be prepared – Generally and
specifically
NASCAR great Bobby Unser is credited as saying,
“Success is where preparation and opportunity
meet.” We couldn’t agree more. You can never be
over-prepared when it comes to tackling a collection
call.
First things first: In order to collect payment as
efficiently as possible,
➢ ensure that you do your research and ask to speak
with the right person in the business.
➢ This may be the business owner, the financial
controller, or the external bookkeeper.
➢ Introduce yourself by name and the company you
are calling from.
➢ If you are leaving a message with someone in the
business who has no function in accounts, don’t
disclose that the call is about unpaid invoices.
Simply request a call back by the end of the day.
Be ready to handle excuses
➢ Write them down on file cards or include them in
your computer scripting.
➢ Group them by category and keep them handy.
Exchange ideas with others in your department.
Then, when the customer tries to end the call by
offering an excuse, you can take control by
countering with a well-thought-out reply and
returning to the purpose of your call — collecting
the debt.
Arm yourself with the facts
➢ Having the facts in front of you keeps you in control. You
don’t want the conversation to get disrupted by a question
you can’t answer.
➢ Many customers know how to use this to their advantage.
Suddenly they can’t discuss payment on their account
without details you don’t have and they don’t “have in
front of them” either.
If you hear yourself saying, “I’ll have to get back to you on
that,” you’ve just given the customer an extension without a
commitment to pay ” and you’ll have to start from square
one with him when you call back.
➢ At a minimum, be sure to have the following in front of you
before you make the call:
➢ Know who you’re calling
➢ Exact amount owed
➢ Terms of sale/loan
➢ Products/services purchased
➢ Payment due date
➢ It’s also helpful to brief yourself on the customer’s payment
record with your company, as well as any other payment
history you may have available to you. Do they usually pay
on time? Are payments getting slower and slower? Is past-
due payment uncharacteristic of this customer?
2. Think Positively
Your mental state has a strong impact both on how you
handle the debtor and how they respond to you.
➢ Treat each call as if it was your first call of a very good
day.
➢ Put a smile on your face.
➢ If you were irritated on the previous call, take a few
minutes to calm yourself and start afresh.
➢ The customer will respond to your tone.
➢ Your upbeat mood will be contagious and you are
likely to get a more positive response from the
customer.
3. Speak professionally and authoritatively
➢ The tone, pitch, modulation, and even the speed at which
you talk can have a powerful influence on your listener.
Think about typical news anchors or radio commentators.
➢ They have voices that command attention.
➢ With a little effort, you can develop one too.
➢ Try recording a general collection call opening and then
listen to yourself. Make adjustments as needed, and try
again.
➢ This will not only improve how you come across on the
phone, but it will also build confidence.
➢ It does take a little time and extra work, but remember,
success is strongly linked to preparation.
Here are a few hints that might help:
➢ Don’t chew gum or drink when you’re on the phone
➢ Speak a bit slower
➢ Use a lower-pitched voice
➢ Pause more often
➢ Make sure you pronounce the ending consonants of
words and don’t slur
➢ Smile while you talk — although the person on the
end of the line can’t see it, they will hear it; and
everyone responds more openly to a smile than to a
scowl
Adhering to these simple tips will greatly improve your
call skills and give you the authority to command the
conversation.
4. Take control and don’t let go
You can manage the call in such a way that you
control the customer’s response. In addition to what
we already mentioned about preparation and voice,
here are some other tricks of the trade:
➢ Address the customer by name throughout the
conversation. This shows respect on your part
and commands their attention. Be careful not to
overdo it though, or it will start to sound
contrived and annoying.
Make the customer right, even when they are
wrong. You may not agree with what they’re saying,
but you can still validate it.
After an objection or excuse, say, “I can understand
why you feel that way.” Or, “I can certainly see how
something like that might happen.”
Validating what the customer has to say maintains
open lines of communication. Understanding their
point of view, even as you share yours, will disarm
the customer’s defensiveness.
Listen carefully and take notes. You will get clues
as to whether the customer is serious about paying.
You’ll also have ammunition for your next call and will
be ready to counter any excuses that may have been
tried in the past.
Use silence. Count slowly to five before responding to
a customer statement, and wait several seconds after
asking a question. Leaving blank spaces in the
conversation compels the debtor to fill them in.
Stay focused. Some customers will try to get you off
track by complaining about service, or somehow shifting
the blame for their delinquency to you. Be polite, even
validate their opinion. But always bring them right back
to the point of your call — getting paid the money
rightfully due to your company.
Don’t let the customer manipulate you.
➢ A screaming customer could be using anger as a ploy to
get you upset and end the conversation. At the very least,
you’re not going to get anywhere with someone that’s
angry.
If a customer starts yelling or using abusive language, stay
calm.
➢ Try reminding them that you cannot help resolve the
situation if they are yelling. If that doesn’t work, say
something like, “This obviously isn’t a good time for you.
When can I call you back?”
You could also try a tactic one of ABC-Amega’s collectors
employs. Say, “Could you hang on a moment? I can’t
understand what you’re saying.” Put the phone down for
several seconds, then pick it up again stating, “I’m back.” That
few seconds of silence will often calm the customer down
enough so that you can carry on with the discussion in a more
reasonable manner.
5. Nail Things Down
A call that doesn’t result in a commitment from the customer is
a wasted call. If you can’t get them to commit to payment in full,
get a promise of something — a partial payment or a call back
with a payment date. Make sure you control the timing. Don’t
ask, “When can you get back to me on this?” Rather, ask “Will
you be calling me by Wednesday?”
Don’t hang up the phone without summarizing the results of the
call. Review their commitment, your expectations, and the
consequences if your expectations are not met. Emphasize the
urgency of the matter. It’s easy for the customer to forget what
you’ve agreed upon as soon as the call ends, especially if they
don’t think you were really concerned about the outcome.
Stress the importance that the customer call you back on the
date they promise payment — to let you know the check has
been sent. If they fail to call, the payment likely didn’t happen.
You won’t waste time waiting for a check that was never mailed.
And finally, if the customer doesn’t follow through on their
commitment, make sure you follow through on the
consequences. If you don’t, they will never take you
seriously.
6. Learn to be Flexible
Following the above advice will help improve the
effectiveness of your collection calls, but there is no magic
formula in debt collection. Every customer is different.
What works really well with one, may get you nowhere
with another. Listen carefully to the customer and you will
pick up clues for the best way to handle each situation.
This activity is a performance exam, it will be part of your
final exam. Prepare a video of yourself doing a call
collection. (Pls. see attached rubrics on the next slide.)
Please consider the following requirements in doing your
activity:
1. Apply the guidelines of call collection provided in this
slide to your video making
2. Read the rubrics attached
3. Videos should not be more than 5 minutes for easier
uploading.
4. Be in proper dress code when doing your video.
5. The video is due on Monday, May 16, 2025.
You are assigned as a loan collector for Dwayne Lending
Company. Your client is living in Nueva Ecija, you cannot go
there to deliver his notice, thus you will call him to inform him
about his past due account.
Mr. Carlile has a loan with your company amounting to 100,000.
It was due on November 30, 2024. Your company already sent
him the second notice on December 30, 2024, and the third
notice on January 15, 2025, but the account is still unsettled.
(The loan disclosure statement served as the first notice)
Your company policy imposes 1% past due interest and
2% fines on past due loans.
Assume that today is April 15, 2025, you will call Mr.
Hines and remind him of the status of his loan and the
total amount to be paid by him.
Also, inform him that if he does not settle his account
today, a demand letter will be sent to him, and he will
pay a 10% attorney’s fee based on his loan balance. He
is given up to April 30, 2025, to settle his account; other
wise you will turn over his case to the legal department
of your company.
Activity 26-30 pts 21-25 pts 16-20 pts 10-15 pts
Content (30pts) The multimedia element is clear The multimedia element reflects The multimedia element is vague The multimedia element lacks a
and concise, with a very logical a fairly logical progression of in conveying a point of view and clear point of view and logical
progression of ideas. ideas. does not create a strong sense of sequence of information.
purpose.
Includes ALL assignment Includes ALL assignment Missing requirements. Does not
requirements. Clearly addresses requirements. Addresses Includes some of the address aspects such as one
aspects such as one objective aspects requirements. Somewhat objective focus, visual images,
focus, visual images, written such as one objective focus, addresses aspects such as one written words, and self-
words, and self-contained visual images, written words, objective focus, visual images, contained.
and self-contained written words, and self-contained.
9-10 7-8 5-6 4-5
Technical Audio volume complements Volume is acceptable. volume is occasionally volume changes are highly
Production the presentation. inconsistent. distracting.
(10 PTS)
9-10 7-8 5-6 4-5
Delivery Narrator sounds Narrator has practiced the it doesn’t sound like the it sounds like the presenter
(10 PTS) comfortable and has piece for smooth delivery. narrator has practiced the is reading a script. Delivery
practiced the piece for an Words are clear and pacing piece. Delivery is better in interferes with ability to
excellent delivery. Words is appropriate. some places than others. understand the piece.
are clear and pacing is Words aren’t always clear Words often aren’t clear
appropriate. and/or pacing is uneven. and pacing makes it difficult
to follow the piece
Grading Rubrics: Video Presentation
This rubric was adapted from Rubric for Podcasts
http://www.uwstout.edu/soe/profdev/podcastrubric.html by Ann Bell
For further inquiries, please send me a
message.
Thank you
The call collection is due on May 16, 2025
