How to Become a Debt Collector

Education and Licensing Requirements

Jul 16, 2008 Felicia A. Williams

Individuals considering a career as a debt collector should do a little self-evaluation to see if they have the character traits needed to be a debt collector.

Individuals with the right debt collector personality should then investigate a bit further to understand the education and hands on work experience requirements for becoming a successful debt collector.

Organizations such as the International Association of Professional Debt Arbitrators and The Association of Settlement Companies offer education, industry tips and advice that is essential for anyone looking to enter the collections line of work.

International Association of Professional Debt Arbitrators (IAPDA)

Becoming a member of IAPDA allows prospective debt collectors to take online training courses. Upon successful completion of the training course individuals are awarded the certified debt specialist certification. In addition to the training and certification Level I members receive the following:

• Lifetime membership certificate that contains the IAPDA seal (It serves to impress clients when it is framed and mounted on a wall)
• Unlimited online support
• Newest and latest available training and education information (online)

IAPDA offers additional services to Level II members, which include, but is not limited to training and certification as a debt arbitrator.

Lifetime membership as of this writing starts at $797. There is a sliding scale fee structure for debt collection companies who wish to register several individuals at one time.

The Association of Settlement Companies (TASC)

TASC is a non-profit organization that lobbies on behalf of debt collection companies on both the state and federal level. TASC holds its members to a strict code of ethics to ensure they are practicing fair and ethical debt collection methods. By visiting their website individuals in the debt collection business can keep abreast of the latest news and regulations.

Federal Regulation and Licensing

Currently there is no specific licensing requirement from the government for becoming a debt collector. As a result, there is no single federally mandated course requirement. Although the IAPDA training course is highly respected in the industry and conforms to the Uniform Debt-Management Services Act finalized draft. The Uniform Debt-Management Services Act was proposed in order to apply a uniform set of rules to govern the debt collection services field in all fifty states. Some states, such as Delaware, Colorado, Utah and Rhode Island have adopted portions of the Act it into legislation.

A Word of Advice

Anyone considering the field of debt collection should gain a good understanding of how the debt collection process works. Working with a debt collection agency is a great way to get hands-on experience. Hands-on experience, the right personality traits and the ability to network is a good start for becoming successful in a career as a debt collector

The copyright of the article How to Become a Debt Collector in Self-Employment is owned by Felicia A. Williams. Permission to republish How to Become a Debt Collector in print or online must be granted by the author in writing.

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