From the client's perspective, the most advantageous form of pricing on third party collections is a contingent fee, based on the amount actually collected. With this pricing format:

You have no payment liability to the collection service unless money is actually recovered (except in the case of law suits where you had previously approved the advancement of costs).
The service provider is highly motivated to bring resources and energy to bear on maximizing recovery on your accounts, since they receive no fee if they don't collect.
Individual collectors are focused on results since, very often, their compensation package is made up of a base salary plus a bonus for dollars collected.
As you charge off delinquent accounts that are forwarded to the outside collection agency, payment of the agency's fees will not negatively impact your balance sheet. Collection of these accounts, on the other hand, results in "bad debt recovery" and has a positive impact on your bad debt reserve.

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Established in 1929, ABC-Amega Inc. provides collections in the U.S., Canada and more than 200 other countries worldwide. Our fees are strictly contingent upon collection. For further information, contact info@abc-amega.com.