Deficiency Balances/ Charge-Off:
(Auto and Credit Card Portfolios)
Although different in their genesis, deficiency balance debt and charge-off accounts have one thing in common: they are both “unsecured”…..meaning there is no asset associated with the debt balance owed to the financier. In the automobile industry, deficiency balances occur when a vehicle is repossessed, sold at auction, and the auction proceeds do not cover the amount of the loan balance. Charge-off balances are most often associated with the credit card industry. People fail to make payments and then walk away from that responsibility. In both cases, deficiency and charge-off, the debtor still has an obligation to pay the balance due, pursuant to their original loan contract. Depending on the state in which the original loan was written, the Statute of Limitations under which payment can be pursued via a legal judgment is anywhere from three to ten years.
There are quite a few benefits to selling delinquent debt!
- Immediate cash upfront (So you can reinvest in what your company does best)
- Eliminates the wait for contingency payments
- Reducing collection work force and the costs associated
- Eliminates the need for managing agencies
- Removes the risk of debtors declaring bankruptcy or collateral damage
- Allows an exit strategy for bad debt
We are currently looking for!
- Credit Cards (Visa/Mastercard/American Express and Department Stores)
- Automobile Charge Offs
- Mortgage Deficiencies
- Any retail contracts or promissory notes
We Want To Pay Top Dollar For your Company's Debt!
Please download our pricing questionnaire: