Debt Collector Salary
Pay for Debt Collectors in the United States sits in the ballpark of $13.56 per hour. The most important factor affecting compensation for this group is location, followed by career duration and the particular employer. Although slightly less than a third lack health benefits of any kind, the greater part do enjoy medical insurance, and the larger part get dental coverage, too. The majority of individuals in this role claim moderate levels of job satisfaction. Debt Collectors survey participants are largely women, dominating at 65 percent. Figures cited in this summary are based on replies to PayScale's salary questionnaire.
Job Description for Debt Collector
A debt collector notifies the holders of accounts that are "past due" of their obligations to pay, and they help find and facilitate the best means for that person to repay the amount owed. Most of the time, individuals in this position work for a financial company dedicated to collecting on past due accounts.Read More...
The biggest skills a debt collector need are the ability to communicate well and keep information organized. In many cases, a debt collector spends most of their time on the phone, and they likely work in a call center environment; it is common for a debt collector to make 100 to 200 phone calls per day. Additionally, a debt collector may generate mail correspondence as well.
Debt collectors are normally given their company's parameters or methods for acceptable debt repayment. Debt collectors work with individuals with past due accounts within those parameters to reduce or eliminate the debt. These professionals often need to note all contact with the debtor and follow up with them on any agreed-upon payment methods or obligations.
Debt collectors work a variety of shifts throughout the day; most U.S. states permit debt collection calls until the early evening, so a collector on the East coast may work until 10 p.m. or later to make calls further west.
The work can occasionally be stressful for debt collectors, as debtors they contact may lash out verbally over the debt in question. As such, a critical skill for a debt collector is thick skin and an ability to maintain a calm demeanor in these stressful situations. Some employers may also prefer previous experience as a debt collector or in a similar position.
Debt Collector Tasks
- Locate and notify customers of delinquent accounts by mail or telephone.
- Arrange for debt repayment or establish repayment schedules, based on customers' financial situations.
- Record information about financial status of customers and status of collection efforts.
- Monitor overdue accounts, receive payments and post amounts paid to customer accounts.
Common Career Paths for Debt Collector
At the upper end, Debt Collectors who move into a Collections Manager role can end up with a hefty increase in pay. The average income for Collections Managers is a much higher $49K per year. When Debt Collectors are ready for the next step in their careers, they often become Collections Supervisors or Collections Managers. Those roles pay an additional $14K and $18K, respectively.
Collections Clerk Job Listings
Search for more jobs:
Popular Employer Salaries for Debt Collector
Popular Skills for Debt Collector
Debt Collectors report using a diverse set of skills on the job. Most notably, skills in Collections, Negotiation, bill collections, and Customer Service are correlated to pay that is above average. At the other end of the pay range are skills like Bilingual. Those familiar with Customer Service also tend to know Collections.
Pay by Experience Level for Debt Collector
Median of all compensation (including tips, bonus, and overtime) by years of experience.
Experience does not seem to be a strong driver of pay increase in this role. Salaries for the relatively untried average out to around $29K, but survey participants with five to 10 years of experience earn a significantly higher median of $34K. People with 10 to 20 years of experience make an average of about $35K in this role. In the end, the overall pattern seems to be that more experience generally corresponds to higher pay; a Debt Collector with more than 20 years of experience can earn $38K on average.
Pay Difference by Location
For those looking to make money, Debt Collectors in Houston enjoy an exceptional pay rate, 31 percent above the national average. Debt Collectors will also find cushy salaries in Cleveland (+13 percent), Dallas (+11 percent), Denver (+6 percent), and San Diego (+5 percent). Trailing the national average by 17 percent, Chicago is the market with the smallest paychecks. Buffalo and Cincinnati are a couple other places where companies are known to pay below the median — salaries are 14 percent lower and 13 percent lower, respectively.
Debt Collector Reviews
Related Job Salaries
Key Stats for Debt Collector
Rated 4 out of 5
based on 71 votes.