Question

When a collection agency is unable to retrieve payment from a client, which of the following is the most appropriate next step for the practice manager to take?

1) Report the client to his/her employer.
2) Report the client to the credit bureaus.
3) Contact a relative of the client and try to retrieve payment from that person.
4) Place a lien on the client's house or business.

Answer 1

The most appropriate next step for the practice manager to take when a collection agency is unable to retrieve payment from a client is to report the client to the credit bureaus.

Step-by-step explanation:

The most appropriate next step for the practice manager to take when a collection agency is unable to retrieve payment from a client is to report the client to the credit

. However, before taking this step, the practice manager should make sure to follow any legal requirements for reporting delinquent accounts to credit bureaus.

Reporting the client to his/her employer (option 1) is not a typical next step for a practice manager. Contacting a relative of the client (option 3) may not be effective or appropriate in all cases, and placing a lien on the client's house or business (option 4) is a drastic measure that should only be pursued after exploring all other options.