The debt collection industry is facing a “perfect storm” because the current methods of pursuing debt are not working, a survey has concluded. Worryingly, there is no industry consensus on ways to improve collection rates despite the industry facing a huge uptake in the number of cases. These findings were made in a survey by Sopra Group Solutions, an IT firm, which concluded that the debt collection industry faces heightened pressures on recovery rates coupled with an increasingly failing debt recovery infrastructure, and expectations of a huge hike in the number of debt recovery cases.

Elliott Howard, director at Sopra Software Solutions in the UK, said: “The challenges businesses face with debt collection are immense, and the debt collection situation is rapidly worsening. Debt collection is absorbing more resources and increasingly becoming more complex and difficult to collect. Added to this, the number of debt collection cases is set to increase at an alarming rate.” The survey also revealed that the process of collecting money is becoming slower, less successful and more resource-intensive....Read more here: Debt collection industry faces "perfect storm"