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  • Aug 19th, 2020 10:25 pm
[OP]
Sr. Member
User avatar
Sep 1, 2008
640 posts
105 upvotes

Collection Agency

Hi RFD

I have a client not paying and it's been six months. He owes us around $1500.
At this point, I do not care if I am able to recover any money. I just want this to be recorded on client's credit score.
I don't have time to go to Small court claims, therefore I am thinking of sending it to collection agency.
I am in GTA
Any recommendation on which collection agency to use? How do I know if they have power to negatively affect client's credit score?

Thanks
Last edited by roadrunner17 on Jul 7th, 2020 1:03 pm, edited 1 time in total.
7 replies
Deal Guru
User avatar
Mar 23, 2008
13006 posts
9961 upvotes
Edmonton
roadrunner17 wrote: Hi RFD

I have a client not paying and it's been six months. He owes us around $1500.
At this point, I do not care if I am able to recover any money. I just want this to be recorded on client's credit score.
I don't have time to go to Small court claims, therefore I am thinking of sending it to collection agency.
Any recommendation on which collection agency to use? How do I know if they have power to negatively affect client's credit score?

Thanks
You might want to start with a location...

C
Deal Expert
User avatar
Mar 9, 2007
15006 posts
11534 upvotes
Think of the Childre…
Are you in Yukon by any chance?
roadrunner17 wrote: Hi RFD

I have a client not paying and it's been six months. He owes us around $1500.
At this point, I do not care if I am able to recover any money. I just want this to be recorded on client's credit score.
I don't have time to go to Small court claims, therefore I am thinking of sending it to collection agency.
Any recommendation on which collection agency to use? How do I know if they have power to negatively affect client's credit score?

Thanks

WOULD SOMEBODY THINK OF THE CHILDREN!!!
Member
Oct 11, 2013
217 posts
61 upvotes
Almost American
You could try https://www.metcredit.com/ we have used them before but moved away to a smaller collection agency due to lack of results. All they do is basically put it onto the client's credit history, spam them by sms / calling and wait.
Deal Addict
Dec 14, 2011
1884 posts
1044 upvotes
London
I assume that you have called them. If you don’t care about recovering the money, I would forget about it, and try and learn how to avoid this in the future.

Often times, sending someone to collections (as a small business owner) results in bad word of mouth, reviews etc. They will tell everyone how terrible your business is and people will listen to the guy if his audience gives him any credibility or even if they think the story is somewhat plausible.

You sound angry (with reason), but maybe really give it a thought, or bouce it off a mentor. Don’t do it to be spiteful. His credit is probably already poor.
Member
User avatar
Oct 26, 2015
205 posts
59 upvotes
Calgary, AB
Following. I had the same kind of issue about 3 or 4 years ago. Client owed me $4K at the time. I did contact a collection agency and I didn't care about recovering the money at this point either. (Unsure why you are being downvoted btw) I ended up not using them since client agreed to pay me a ridiculous $600.

I absolutely disagree with Drakestar. I didn't do anything back then and this client ended up scamming other freelancers to the point of them taking over her website/social media channels and clearly stating she was a scammer. Scammer being scammed. In order to prevent all that shit show, a collection agency trying to recover the money would have maybe taught her to not try to mess with small business owners. SO GO FOR IT. Successful or not, you will at least try. Bad clients will always be bad clients and believe me, they don't bother leaving you a bad review. AND you can always respond to a review anyways! Also, it's a pattern with these clients so probably other companies had the very same issue. I remember this client getting horrible reviews from freelancers on Glassdoor after someone decided to finally speak up. She is probably out of business now anyways.

Edit: Just saw this on Reddit https://www.reddit.com/r/freelance/comm ... _invoices/

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