Are you a creditor that has found yourself involved with a bad debtor or debtor, and are attempting conflict resolution to progress with your matter?
If so, you probably feel quite frustrated with both your debtor and the whole situation in general, which can cause a lot of stress in your life.
If you are considering the route of conflict resolution, chances are things are progressing the way that you would like them to be either, which can add an extra layer to that stress!
So, what can you do about it?
Well, information is one of the keys to success, so making sure that you know a lot about your matter and your options is important. It can also be helpful to have some general tips and tricks behind you that you can use to help with your conflict resolution!
In this article our professional Australian debt collectors will discuss some tips that you can use to help to manage conflict resolution as a creditor and how doing these things can be of benefit to you.
Conflict Resolution in Debt Collection
In this article we will attempt to explain nine (9) tips that a creditor can use in their arsenal to manage conflict resolution, including:
- Being Calm and Professional
- Listening Actively
- Communicating Openly
- Seeking Common Interests
- Being Flexible
- Record, Record, Record
- Considering Alternatives
- Being Polite
- Being Open to Negotiation
- Or, hiring a debt collector to do it for you.
We will explain these in a little more detail below.
Conflict Resolution - Be Calm and Professional
The first tip that can help you to successfully manage your conflict resolution process as a creditor is remaining calm and professional at all times.
When you are dealing with a conflict, the last thing that you want to do is behave in any way aggressive or unprofessional.
This risks the conflict escalating quite significantly and set back practically any progress that you have made.
By being both calm and professional, you can make sure that the conflict is resolved the best and fastest it can and that all parties walk away somewhat satisfied.
Furthermore, acting unprofessional can result in reputational damage for your business, so it is to be avoided.
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to listen actively at all times.
As dry and boring as some meetings or discussions can become, especially if a debtor is consistently refusing payment or just overall being difficult, it is important that you are an active participant in any conversation.
Make sure that you are always engaged and maybe even taking notes whenever you speak with the other party.
This way, you avoid missing any information that may be critical to your debt collection matter and its resolution.
Conflict Resolution - Communicate Openly
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to communicate openly and actively.
Don’t take a back seat role in your conflict management.
Whenever you feel that something should be said, provided it is professional, say it!
Make sure that everything is out on the table, and everyone is up to date on what is happening with the matter.
This way, a level of trust between parties can be developed and the conflict can be resolved in that way.
It will also make sure that your needs are being considered and hopefully met by the other party.
Seek Common Interests
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to seek common ground to base your conflict resolution.
Nothing can help a conflict resolution quite like common ground.
There is something that you will want from the engagement and something that the other party will want.
Somewhere in between, you can locate the common ground!
This can be used to create an agreement that is mutually beneficial and may even maintain something of a relationship between yourself and the client!
Conflict Resolution - Be Flexible
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to be flexible with the client.
Sometimes it pays to hold your ground and be firm, but sometimes it pays to be flexible and open.
You should put your needs at the forefront of your mind, but there should also be things that you are willing to sacrifice to make the agreement work.
Most conflicts are resolved with a little give and take, so try this tactic for you!
Record, Record, Record
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to record and document anything and everything.
Any conversation or exchange can be taken as evidence if your matter ends up in court, so you should make sure that you have some kind of record of any legal exchange.
Not only that but having a clear record of any occurrences that may be relevant to your matter can help you to stay organised and calm!
Conflict Resolution - Consider Alternatives
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to consider alternative methods of resolving your debt dispute.
Alternative dispute resolution is a term for the several processes that you can use to resolve a matter outside of court.
One of them may be helpful for you, so make sure you look into it!
Conflict Resolution - Be Polite
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to always be polite.
No one appreciates being yelled at or disrespected.
As much as the matter and/or the client may be getting on your last nerve, it is always a good idea to be polite and kind when you are speaking with your clients.
The last thing that you need is more conflict to be resolved!
Be Open to Negotiation
Another great tip that can help you to successfully manage your conflict resolution process as a creditor is to be open to negotiation.
Sometimes negotiation is the best option for your matter.
As much as the debt will probably not be paid back as it was agreed upon if negotiation occurs, it may be the difference between expensive legal fees or even non-payment by debtors.
Make sure you hold your ground on the terms that you need to be met, however, so that you are not walking away without anything in your favour!
Hire a Debt Collection Agency
Have you tried everything to resolve your conflict, but nothing seems to be working out for you?
It may be time for you to try debt collection to resolve your matter.
Debt collectors are professionals in the industry and can find a lot of success collecting your debts due to their access to tools and their experience.
They can also help with the more matter-specific tasks, such as locating debtors that have skipped town using skip tracing.
Consider debt collection and submit your debt online today!
Advance debt collection is an Australia-wide commercial debt collection agency and credit and accounts receivable management. We can recovery your debts, conduct skip tracing, and manage your accounts receivable. We collect your debts for commission only. This means no collection, no commission. We are professional debt collectors with combined 20 years of experience to help you collect your debts. We are partnered with expert litigation lawyers with years of experience in debt recovery, enforcement, and insolvency. Under the Agents Financial Administration Act 2014 Advance Debt Collection Pty Ltd hold authority number 4583821 to act as a debt collector. ADC Advance Debt Collection® is a registered trademark.