This type of payment negotiation can only succeed when a collector has a complete view of the consumer’s financial situation.

Conklin has long been an advocate for getting the most out of the first consumer contact.

Negotiation Tip: One way to do this is by getting full and complete information during the call. If agents gain a full view of the consumer’s financial situation and reasons for nonpayment, this can help them overcome objections and resolve the past due account more easily.

“If we’re asking those right questions, we’re negotiating something that makes sense, and not just accepting that blanket payment to get them off the call, this builds more of a rapport,” says Conklin.

“It makes consumers more likely to continue to work with you – especially if it’s healthcare and they continue to have other accounts that come into your office. This will set you up for success in future interactions with these same consumers.”

Bryant points out that once a consumer has made a payment, they feel more invested in resolving their debt. This can be an effective negotiation strategy to begin a payment plan.

Negotiation Tip: Asking for a slightly larger initial payment can be a good negotiating tool for those who want lower monthly payments.

She suggests asking for a percentage of the total balance as a down payment. Ask consumers to pay, for example, 20% to 30% of their balance during the call as a lump sum payment while you are also negotiating their repayment plan.

Using this more strategic plan for a consumer to pay down their past due account can carry into future interactions too.

If you have helped a consumer to efficiently resolve their debts in the past, you are likely to get the consumer’s attention more easily if they have more accounts sent to you later. Make sure you’re working on payments with purpose so you continue to succeed in future calls.

Question to Panelists:

Healthcare collections can present unique challenges. The medical debt consumers you collect from likely will be repeat customers for your clients. They want to keep these consumers happy, so you must take extra care when collecting this type of debt.

• How should you deal with a third party (usually a parent or grandparent) that is asking about a child or grandchild’s debt, or trying to pay this debt?
• How do you address consumers who are overwhelmed due to the volume of medical bills they have accrued?
• How do you deal with consumers who feel their quality of care was lacking or that the bill is inaccurate? What if they are only willing to pay certain portions of their bill?

Hiller says getting permission to speak to a third party during a conversation with the right party contact can be useful.

Negotiation Tip: If a patient mentions a parent or grandparent is planning to pay their bill, act on this information and get permission to speak with that party.

You may even ask to conference them into the current call for quicker resolution. On the other hand, if the third party is the individual on the phone, you may consider a conference call with the consumer to gain permission to discuss the past-due account with others right away.

For consumers who don’t agree with some of the items on their medical bills, help from your client can go a long way.

Negotiation Tip: Speak to creditor clients ahead of time and ask how they feel about conferencing their billing department into collection calls. If you conference them in during a patient’s objections about the charges or service, it can be very effective in overcoming them and providing a positive patient financial experience.

Consumers feeling overwhelmed is something that must be addressed in calls. Many medical consumers with bills in collections continue to accrue more debt. Those who feel overwhelmed may fall behind and even stop paying bills altogether.

Oftentimes, consumers will get set up for recurring billing and agents don’t check back in with them.

Revisiting established payment plans can be a good opportunity to check in after several months. Find out if their situation has improved. If not, perhaps take this time to see if they now qualify for one of the financial assistance programs your clients offer.

Some creditor clients give permission for agencies to make deals with consumers about a past-due account during a call, but many do not.

“None of our clients give permission to negotiate on their behalf,” says Bryant. However, this doesn’t mean you are powerless if a consumer says they won’t pay their full balance.

Negotiation Tip: In these cases, you can take the consumer’s offer to the client and they may or may not decide to accept. Even if they decline, it may still be worthwhile to ask. Clients often provide a counteroffer that’s acceptable to all parties.

Question to Panelists:

Angry consumers are common in debt collection. What are some ways to maximize your chances of a successful resolution during conversations with angry consumers?

If you listen to the details a consumer mentions when they are angry, Hiller points out you can often get enough information to move the conversation forward. Whatever your process, train your staff to follow it without getting caught up in distractions an angry consumer may present.

Negotiation Tip: Acknowledge what they have to say and then tactfully direct the conversation back to the topics you must cover.

If you find yourself unable to have the conversation you want, say something open-ended.

For example, “Help me to understand what has been happening with this situation before the point where they hired us.”

This will give consumers a way to tell their story and allow you to gain information that might help in the payment negotiation process.

When a customer is angry, be sure you are practicing due diligence to identify a possible dispute. However, Conklin says many times a consumer says they don’t owe a debt, the comment may be a stall.

Negotiation Tip: Using the account details you have at your disposal (contract dates, billing statements, billing cycle information, etc.) may help you provide more data to consumers while on the phone.

This knowledgeable exchange usually leads to some type of resolution or plan for payment. Don’t cut conversations short as soon as a consumer lashes out. Ask questions calmly and with empathy to fully understand your consumer’s situation.

Bryant explains that while you must remain compliant and address all disputes, a customer’s anger doesn’t always mean they are disputing a debt or refusing to pay.

Negotiation Tip: She suggests that you take the time to really listen to what they have to say. Ask for specific information about the points of the debt a consumer disagrees with.

This can sometimes shed light on situations that can help you quickly resolve a debt.

For instance, if a consumer claims they don’t owe anything because they’ve already paid, take a moment to look at their history. Perhaps they made a partial payment, but were not aware there was a remaining balance still owed.

Simple fixes like this can save a lot of time down the line.