Debt Collector Job Description

A Guide to Becoming a Debt Collector Job Description

A debt collector’s job description entails contacting overdue account holders to seek repayment of outstanding debts. Main duties include negotiating affordable payment plans, advising on consequences of nonpayment, updating accounts after communications, and referring unresolved debts for legal action if necessary. Debt collectors work for collection agencies, law firms, banks, credit companies, and other creditors to recover money owed to them. Requirements for the job typically include a high school diploma, strong communication/negotiation skills, familiarity with debt collection regulations, organization, and persistence in pursuing unpaid debts.  Debt Collector Job Description Template


Job Description and Overview

The role of a debt collector is to recover payments owed by individuals or companies on overdue accounts. As a debt collector, your primary responsibilities include:

  • Making outgoing calls to customers with outstanding balances
  • Negotiating repayment plans and settlements within set limits
  • Recording promises to pay and details in computer systems
  • Reporting on the progress of collections and the status of accounts
  • Complying with all policies, laws, and regulations

Key Responsibilities

  • Customer Engagement
    • Initiate calls and emails to customers about unpaid bills
    • Explain charges and request payment
  • Account Management
    • Record notes about all conversations and promised payments
    • Classify accounts based on payment likelihood
    • Advance accounts from reminder to urgent as needed
  • Settlement Authority
    • Accept payment plan arrangements meeting guidelines
    • Offer approved discounted settlements on seriously delinquent accounts
  • Regulatory Compliance
    • Take mandatory training on debt laws and ethics
    • Follow debt collection best practices in all contacts

Requirements and Qualifications


  • High school diploma or equivalent required
  • Bachelor’s degree preferred

Key Skills

  • Outstanding communication and negotiation abilities
  • Composure and patience
  • Problem-solving skills
  • High-level organization and attention to detail
  • Computer literacy

Becoming a successful debt collector requires specialized abilities like:

  • Remaining professional in every interaction
  • Expressing genuine empathy for customers’ situations
  • Striving to develop cooperative relationships
  • Expert understanding of legal collections requirements
  • Grace under pressure

Debt Collector Job Description Template

We are seeking a professional debt collector to make outgoing calls and recover payments owed to our company. As a debt collector, you will negotiate repayment plans and settlements within defined limits. An ideal candidate has strong communication abilities, high ethical standards, and an aptitude for time management and documentation.

Roles and Responsibilities

  • Initiate collection calls to customers with past-due accounts
  • Explain details of balances owed and request payment arrangements
  • Empathetically negotiate realistic payment plans customized to the customer’s financial status
  • Follow up on promises to pay according to agreed-upon payment dates
  • Accurately document all collection notes and record them in the computer system
  • Adhere to all company policies, debt collection regulations, and ethics codes
  • Take a proactive approach to advance accounts from reminder to urgent collections with supervisor approval
  • Perform administrative tasks like filing and data entry with high attention to detail
  • Generate daily/weekly reports on collection progress
  • Make reasonable efforts to collect by calculating the customer’s ability to pay

Requirements and Qualifications

  • High school diploma or GED required; bachelor’s degree preferred
  • Proven experience in customer service, sales, collections or related field (1-3 years)
  • Strong negotiation skills and ability to empathize with customers
  • Excellent communication and interpersonal abilities
  • High-level composure and problem-solving skills
  • Proficiency with MS Office and database platforms
  • Ability to pass background and credit checks

We provide competitive pay, benefits packages, and flexible schedules. Our team-oriented culture focuses on compliance, ethical behaviour, and communication excellence. Submit your resume if you would like to join our mission-driven company as a debt collector.

FAQs about debt collector job

What does a debt collector do?

A debt collector is responsible for contacting delinquent customers to explain unpaid bills and create payment arrangements or settlements. Key duties include making outgoing calls, negotiating repayment plans within set limits, recording payment promises and account details, and generating progress reports.

What skills does a good debt collector need?

Excellent communication and negotiation talents are essential. Debt collectors also benefit from composure, problem-solving abilities, organization, computer literacy, and high ethical standards. Empathy, persistence, regulatory knowledge, and grace under pressure are also vital.

What kind of education or background is required?

Debt collectors generally need at least a high school diploma or equivalent. Many employers prefer candidates with 1-3 years of customer service, collections, finance or sales experience. Coursework or training in communications, business, psychology or conflict mediation is also helpful.

What is it like working as a debt collector?

It can be a challenging but rewarding profession. Debt collectors get to speak with diverse customers daily and flexibly create customized repayment solutions. They enjoy intermediary roles aimed at reconciling understanding between creditors and debtors. It also provides stable employment with performance-based bonuses at many collection agencies.

What are common debt collector interview questions?

Expect questions about your motivation for this work, strengths that translate, experience handling difficult conversations, managing emotional responses, and approach to balancing empathy with firmness. Knowledge of FDCPA and collections industry best practices will also be evaluated.

Do debt collectors get base salary or commission pay?

Compensation structures vary across companies. Many offer a base hourly wage or annual salary plus individual/team commission percentage on top. Seasoned collectors at top agencies can earn into 6 figures in total comp.


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