What collection methods are
Collection methods are the communication channels and activities that Collection Partners use to reach debtors and encourage payment. The four main categories are:
Letter-based collection - formal written demands sent by post
Phone collection - direct calls to debtors
Digital outreach - email, SMS, and messaging apps
Field visits - in-person contact at the debtor's address
All collection activities are executed and selected by the Collection Partner (the local collection agency or law firm). The legal relationship concerning the debt collection claim is directly between the Client and the Collection Partner.
Why method selection matters
Different jurisdictions have different rules about which methods are permitted, when they can be used, and how frequently. The Collection Partner determines the appropriate mix based on:
Local regulation and licensing - what channels are legally permitted
Local best practices and cultural norms - what approaches work in that market
Data availability - whether a valid phone number, email, or address exists
Expected return on investment - whether the cost of the activity is justified by likely recovery
Debitura provides baseline effort guidelines to support consistent quality, but these are guidelines rather than contractually enforceable checklists. The Collection Partner decides the final strategy for each case.
How each method works
Letter-based collection
Letters create a formal record of notice and are commonly used when local practice or regulation favors written contact. Typical letter types include:
Initial demand or first-contact letter
Follow-up reminder letters
Certified or registered letter (where applicable)
Final notice before recommending escalation
The frequency and timing of letters depends on local rules and the Collection Partner's assessment of each case.
Phone collection
Phone calls are typically used to reach the debtor quickly, clarify disputes, and negotiate payment plans. Collection Partners use calls where they are lawful and likely to be effective.
Calling strategy always depends on local rules (including timing and frequency restrictions), whether reachable contact data exists, and expected return on investment.
Digital outreach
Digital channels support fast contact and frequent reminders. Common uses include:
Email reminders and negotiation follow-ups
SMS reminders (where lawful and contact data exists)
Messaging apps such as WhatsApp (in markets where common and compliant)
Digital outreach is highly dependent on consent and privacy rules, available contact data, and local norms.
Field visits
Field or door visits are jurisdiction-dependent and used only where permitted and economically justified. In some markets, field visits may be offered on a fixed-fee basis.
Field visits often fall outside the standard "No Cure, No Pay" pre-legal scope and may be handled as optional, separately priced actions. Whether to use them is entirely up to the Collection Partner, subject to local legality and expected return.
Typical escalation path
A typical structure (implemented and adapted by the Collection Partner) progresses through these stages:
Skip tracing and compliance review - verify debtor details and assess case validity
First contact - initial demand, often combining a letter with digital outreach where possible
Persistent outreach - multiple touchpoints across channels including calls and formal notices
Negotiation and payment plans - working with the debtor to arrange payment
Final notice - last opportunity before recommending escalation
Optional escalations - legal action, field visits, or asset investigation (may require additional arrangements)
For more detail on how cases progress, see case lifecycle.
Scope and pricing considerations
Pre-legal (amicable) collection is generally covered under "No Cure, No Pay" for undisputed monetary claims. Legal action, if pursued, requires separate arrangements.
In some jurisdictions or cases, enhanced skip tracing, deeper investigations, and field visits may fall outside the standard No Cure No Pay scope. These can be handled as optional, separately priced actions.
For complete scope definitions, see the Standard Debt Collection Agreement (SDCA).
The ROI principle
Debitura never expects Collection Partners to perform collection activities if the expected return on investment is negative. Collection Partners choose actions that are proportionate to claim size, local costs, and realistic recovery likelihood.
When further activity is not economically justified, Collection Partners may recommend alternative next steps or case closure.
Compliance and ethics
Debitura requires Collection Partners to operate lawfully and ethically, strictly following local regulations, industry best practices, and debtor-rights protections. This includes respecting restrictions on contact timing, frequency, and methods in each jurisdiction.
Impact by actor
Client
The Client submits cases and provides documentation but does not select or execute collection methods
The Client can view progress and activity logged by the Collection Partner
The Client approves any escalation to legal action if recommended
Collection Partner
The Collection Partner selects and executes all collection methods based on local rules and case characteristics
The Collection Partner determines timing, frequency, and channel mix
The Collection Partner logs activity (notes, calls) on the platform for transparency
Debtor
The Debtor receives contact through the channels selected by the Collection Partner
The Debtor can respond, dispute, or negotiate payment through these contacts
The Debtor's rights are protected by local regulations that the Collection Partner must follow
Debitura
Debitura provides baseline guidelines and the platform for case management
Debitura requires partners to operate lawfully and ethically
Debitura is not responsible for the specific methods chosen by Collection Partners