Collections Process

Past experience shows that once collection efforts commence, debtors immediately recognize the presence of a third party with one primary objectives complete and amicable resolution of the past due balance. However, favorable results can be achieved when accounts are placed for collection early in the delinquency period.

As soon as your account is placed with us, the debtor is usually contacted within the hour. As a general rule, debtors are called two times, per five business days. This allows constant pressure on the debtor, also keeping your company’s name and receivable at the forefront, and shows the debtor the urgency of getting your account paid. Millennium rejects the generally accepted practice that each account, based on balance, is allowed a specific number of letters and phone calls followed by a recommendation for litigation. Conversely, we require that repeated direct contact and investigative techniques be employed by all in-house personnel for every account. Most debtors pay past due balances based on available cash flow and the pressure applied to pay the debt. As troubled companies usually do not have the cash reserves to pay everyone, they will pay select vendors who have been elevated to the top of their payables list as a result of business considerations or pressure brought to bear.

We believe that continuous and professional pursuits of any and all balances are the keys to effective collections.


Millennium Collections partners with a network of attorneys throughout the United States and certain foreign countries which permits our clients to sue debtors that refuse to respond to our debt collection efforts in the debtor’s own jurisdiction. These attorneys belong to organizations that maintain a surety bond for the benefit of our clients which insure that all collections completed by counsel will be properly remitted. Millennium Collections has carefully chosen only those attorneys that meet our strict requirements as to knowledge, experience and service.

Millennium Collections requires that counsel employ a two step process in connection with collecting our clients’ accounts. For the first step of the process, counsel is instructed to use non-judicial means of collection. They will contact the debtor through telephone and mail, and attempt to collect an account without suit. Over a period of approximately one month, counsel will seek recovery of the debt in order that the client will not have to pay for suit. Millennium charges a fee of $75 for this service.

In the event a debtor refuses to voluntarily make payment arrangements with counsel, we will make our best efforts to determine if a successful suit against the debtor will result in a recoverable judgment. If we determine that there is a reasonable chance of a successful recovery, counsel will issue a letter stating his requirements to take the case to trial. This normally includes the cost of filing the case with the local court and serving the debtor, which ranges from $250 to $500. In most cases, except those in which counsel is absolutely certain of a recovery, a non-contingent suit fee in an amount of between three and five percent of the amount in dispute will be charged. The balance of the attorney’s fee is paid out of Millennium Collections’ collection contingency fee of thirty-five percent for domestic accounts.

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