1. How are payments processed?
Response: For payments received through the mail or by instant payment services, the monies are posted to the specific debtor’s account in CLS (collection software) and then deposited in to our Bank of America trust bank account. If required by a client, we can open a client-specific trust account to handle all client incoming debtor payments.
2. Who opens mail?
Response: Only two employees (Posting Clerk and the Office Manager) have the right to open mail and process payments.
3. Do account managers/collectors handle payments?
Response: Yes—Collectors and managers will accept a walk in payment in the event that we cannot otherwise convince the debtor to make the payment in another way. If a debtor does come to our office, a manager will meet with the debtor, accept the payment and provide a receipt. If the payment is cash, the monies will be placed in a locked drawer within a locked office until the money is deposited into our bank trust account at the end of the day. Also, collectors and managers will handle check by phone or credit card payments.
4. What ensures the proper posting to account?
Response: A detailed “Daily Collection Report” is prepared from CLS (collection software) and SQL the next morning. The Daily Collection Report shows the payment amount, debtor’s name, collector and other payment information. This report is electronically disseminated to each collector and manager. Any discrepancies are reported to the Collection Manager for review and communications to the Posting Clerk for corrections of postings, if required.
5. Does the firm have checks and balances system?
Response: Yes—all trust accounts are reconciled daily to collection software totals and monthly by an individual who does not have responsibility for positing payments or processing debtor remittances.
6. Does the firm have a trust account? Bank name?
Response: Yes—Trust accounts are with Bank of America.
7. What methods of payments does your firm accept (Western Union, Check By Phone, etc.)?
Response: Persolve has relationships with many types of vendors including instant payment services available for any debtor to make payments via Western Union, Money Gram, check by phone, and ACH and Credit Card (all major cards except American Express) payments through vendors such as, Pay Simple and Billing Tree.
8. Do you have different procedures for cash and checks?
Response: No—procedures are the same for handling and processing payments of cash and checks.
9. What is the policy on accepting post-dated checks?
Response: Post dated checks are accepted, restrictively endorsed, and placed in a locked drawer within a locked office until the checks are scheduled to be deposited in the bank trust account. Also, the checks are recorded in the collection software system (CLS) on the day the check(s) is deposited in the bank.
Further, Persolve will mail the written statutory required notice to the debtor prior to either depositing the post-dated check electronically or physically depositing the check in the bank.
10. What happens with NSF checks? Who is responsible?
Response: Upon notice that a check has been returned NSF, the posting clerk reverses the payment on our collection system, sends the debtor a letter informing the debtor of insufficient funds, and advises the Collection Manager of the NSF check. Further, the applicable collector receives a Daily Collector Receivable Aging Report which will show the NSF check on the next day’s report. Also, Persolve will charge the maximum allowable statutory fee for NSF checks and add it to the amount owed by the debtor.
11. Does your state require your firm to age checks?