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Do autodialers help or hurt those collecting on a debt?

On Behalf of | Nov 30, 2023 | Business Litigation

Technology offers as many theoretical benefits as it does drawbacks for organizations and individuals. For example, technology has made it easier than ever before for creditors to track people down, but it has also made it easier for those who know they owe others money to avoid their responsibilities. People can block phone numbers, screen their calls and even use software to frequently change their phone numbers.

One of the forms of technology that can potentially prove useful for those collecting on debts is the autodialer. This specialized software handles the process of making phone calls and can then connect collection specialists to an individual if they answer the phone. Does using an autodialer benefit companies engaged in frequent collection activity?

How autodialers can help

There are ways that autodialer software can prove very valuable to parties engaged in frequent collection activity. Having software dial and connect calls will drastically reduce how much time individual collection specialists spend making outbound phone calls and will instead maximize the amount of time they spend communicating with individuals.

Additionally, autodialer programs typically come with specialized software that keeps a record of when the company called and what communication occurred during that conversation. Simply put, autodialers can make the collection process more efficient and can help companies avoid unintentional violations by providing immediate access to information about when and where they can contact an individual.

How autodialers disadvantage a business

Consumers have become familiar with autodialer programs and may not answer the phone at all when they do not recognize a phone number. Additionally, even relatively modern autodialer programs may have trouble navigating voicemail software or answering machines effectively, resulting in people receiving garbled or partial messages and not understanding the nature of the phone call.

The use of autodialers can lead to a scenario where individuals might allege harassment if the company makes multiple dial attempts because someone doesn’t answer their phone. Especially when the roster of debtors is relatively small, the outbound phone calls could feel like a form of harassment to those who owe a company money.

Organizations will find that autodialers create as many challenges as they resolve, and so the nature of the business and the scope of its operations will influence whether or not such software could be a beneficial part of their collection efforts. Learning more about federal debt collection laws and the resources available for creditors may help organizations choose more effective solutions for collecting outstanding debts.