One of the most single important factors in determining the validity of the debt is its age. 85% of all accounts are collected within the first 30 days. Another 10% is collected in the next 30 days. Leaving just 5% of the accounts that would generally be assigned to a third-party agency or be written off as bad debt. Statistically the longer the account remains outstanding the less likely it is to be recovered.
You can generally subtract 10% off the recovery scale for each month that remained outstanding after 120 days. Most agencies will generally only work an account for 60 days upon assignment. National Asset Management will work accounts for up to seven years our technology, capability; staffing and unique proprietary processes allow us to continue to work accounts for the full term of credit reporting capability.
In many cases accounts that are for five years old are result out of necessity by the debtor in order to secure a loan, home or another type of financial commitment.
