A  Michigan Jobs and Career Portal  service.

Collectors locate people to notify them of overdue accounts, installments, damage claims, or nonpayable checks, and try to secure payment or return of the merchandise. They may contact people by telephone, by letter, or in person.

JOB DUTIES

Bill and Account Collectors may:

Talk with people to determine reasons for overdue accounts

Receive money or arrange for payment at a later date

Repossess merchandise or have service discontinued

Write reports and letters

File and type

Recommend legal action

Locate accurate addresses for incorrect ones given on a credit application

Bring accounts to a current, paid status

The equipment and materials used may include:

OCCUPATIONAL SPECIALTIES

Bill & Account Collectors may specialize in these areas:

241.357-010 COLLECTION CLERKS notify customers by mail or telephone of

delinquent accounts, secure payments, and file records.

241.367-010 OUTSIDE COLLECTORS personally visit customers at their homes or offices to collect payments on accounts.

241.367-026 SKIP TRACERS trace skips (debtors who change residence without notifying creditors in order to avoid payment of bills) for creditors or other concerned parties.

241.367-022 REPOSSESSORS go to the homes of debtors to obtain payment of overdue bills or to remove the merchandise and return it to the seller.

They may be designated according to merchandise repossessed, such as automobile repossessors.

In addition to learning about these specialties, you may also find it helpful to explore the following MOIScripts:

WORKING CONDITIONS AND REQUIREMENTS

Collectors work under the direction of a credit supervisor or manager. They work primarily indoors in clean, well lighted and well ventilated offices.

They generally work a 5-day, 40-hour week. During busy periods, Collectors may have to work overtime to contact people at their homes.

Occasionally, they may travel to and from a debtor's home to make a collection. In smaller collection agencies, Collectors may have to furnish their own transportation to make visits outside the office. Larger companies may furnish automobiles or reimburse the Collector for using their own cars for business purposes.

You Should Prefer:

• Having business contact with people

• Doing routine and organized work

• Communicating information and data to others

You Should Be Able To:

• Use tact in dealing with various types of people

• Make decisions and judgments

• Follow instructions

• Influence customers to pay amounts due

• See detail/recognize errors in numbers/spelling in written materials

Math Problem You Should Be Able to Solve:

If a debtor owes $2,000 with 4% per year added on for interest, what will this persons bill be at the end of 5 years?

Reading Example You Should Be Able to Read and Comprehend:

Should be able to read and understand terminology such as: delinquent account, skip-tracing, bill consolidation, overdue notice, extension, debit, credit, credit contract, invoice.

Writing Example You Should Be Able to Produce:

You should be able to write letters to debtors explaining how much they owe and when it is due.

Thinking Skill You Should Be Able to Demonstrate:

You should be able to decide the best way to obtain payment from someone that is avoiding you.

Because Collectors may occasionally travel to persons' homes to collect money or to pick up merchandise, they should have valid drivers' licenses.

  [back to top]

EDUCATION AND PREPARATION OPPORTUNITIES

NOTE: A High School diploma or equivalent and On-The-Job Training provided by the employer may qualify a person for this occupation.

The following education and preparation opportunities are helpful in preparing for occupations in the MOIScript:

***SCHOOL SUBJECTS***

0600 BUSINESS , 0700 CAREERS , 0900 COMMUNICATIONS , 1000 COMPUTERS , 1100 ECONOMICS , 2200 MATH , 3000 SOCIAL STUDIES , 3100 STUDY & WORK OPTIONS

***VOCATIONAL EDUCATION PROGRAMS***

There are no Vocational Education Programs related to this MOIScript

***POSTSECONDARY PROGRAMS***

There are no Postsecondary Programs related to this MOIScript

  Search for a College and/or Instructional Program

***APPRENTICESHIP OPPORTUNITIES***

There are no Apprenticeships related to this MOIScript

***MILITARY TRAINING PROGRAMS***

There are no Military Programs related to this MOIScript

E-Learning Courses and Programs

  [back to top]

OPPORTUNITIES FOR EXPERIENCE AND METHODS OF ENTRY

Summer or part-time work experience opportunities may be available at collection agencies or department stores.

                School-to-Work opportunities include:

informal apprenticeships

mentorships

job shadowing experiences

touring a local Bill and Account Collector employer

internships

volunteer work with a Bill and Account Collector employer

community service work with an agency

To find a job as a Bill and Account Collector, apply directly to collection agencies or other businesses that employ Collectors. Assistance in locating a job may be obtained from high school placement offices, local offices of Michigan Works!, or by consulting newspaper want ads. In addition, you should access and search the Internet's on-line employment services sites such as:

Michigan Talent Bank

America's Job Bank

Classifieds Employment

Yahoo! Careers

Michigan Works!

You should also enter an electronic resume on these on-line services.

  [back to top]

EARNINGS AND ADVANCEMENT

Earnings of Collectors vary according to the type of collection work they perform, size and kind of business for which they work, and geographic location. Generally, Collectors are paid base salaries plus commissions on the amounts collected. Commission schedules vary widely from agency to agency.

The earnings of Bill and Account Collectors are similar to those of other credit workers. In 1998, the average salary for collection clerks was $24,000, with most earning from $21,300 to $28,600. Some highly successful Collectors working on commission may earn several times these amounts. The median annual salary for all Bill and Account Collectors was $17,320 in 1998.

In Michigan, Junior Credit and Collection Clerks had annual average salaries of about $21,800 in 1998. Those with more experience and responsibility had annual average salaries ranging up tp $37,000.

Collection Clerks working for employers in the Detroit, Ann Arbor and Flint areas earned an average salary of $25,400 in 1998. The range of salaries paid by employers was $20,800 to $30,500.

Tax Collection Representatives working for the State of Michigan earned between $26,541 and $48,361 per year (mid 1999). Commissions received on collections may add substantially to base salaries. Some Collectors also receive cost-of-living allowances and/or annual bonuses based on individual performance, company profits, or length of service.

Depending on the employer, Collectors generally receive paid vacations and holidays; sick leave; and health, life, disability, and hospitalization insurance. Some may also have savings and stock investment plans.

Bill and Account Collectors may advance to collection supervisor, credit manager, or collection agency owner. Experience and college courses in business administration or finance are helpful.

  [back to top]

EMPLOYMENT AND OUTLOOK

Nationally, in 1994, there were about 268,600 collection workers employed. Employment is expected to grow much faster than the average for all occupations through the year 2005 as expanded use of credit results in increasing numbers of delinquent accounts. About 1.1% of them were self-employed. The industry distribution for Collection Workers looked like this:

The best opportunities will exist in collection agencies and retail trade firms. Competition will be greatest in large metropolitan banks that generally offer higher salaries and better opportunities for advancement.

There are approximately 6,600 Collectors employed in Michigan. Most worked in urban areas for collection agencies and financial institutions such as banks, savings and loan companies and consumer credit companies. Others worked for retail stores, public utilities, hospitals and manufacturing firms.

Employment of Bill and Account Collectors in Michigan is expected to grow faster than the average for all occupations. An average of 260 annual openings is expected through the year 2005, with 200 due to growth and 60 due to replacement of those who retire or leave the labor force for other reasons. Additional openings will occur as Collectors change jobs or occupations. The demand for Collectors will be spurred by the expansion of credit card services and the further growth of suburban retail stores. As more businesses extend credit for the purchase of greater numbers of goods and services, the number of overdue accounts can be expected to increase. Additional collection workers will be required to service those accounts on a person-to-person basis.

MICHIGAN'S EMPLOYMENT OUTLOOK TO 2005

SOURCES OF ADDITIONAL INFORMATION

Printed Occupational information is available upon written request from the sources below.

SUMMARY PROFILE

The occupation of Bill & Account Collector can be summarized by the following:

MOISCRIPTS are Copyright 2003, Michigan Department of Career Development