Why A Specialized Collection Company Makes Sense For Your Community Association

In good times or bad times community associations (Condos and HOAs) will experience some level of delinquencies that affect the entire association. As a not for profit business your association depends on timely payments every pay period to maintain services to members of the association.  Failure to effectively act on a delinquent account does a disservice to the community and to the delinquent member as well.  By allowing a member of sink deeper and deeper in debt the association only makes it more difficult for them to remedy their problem.

As a member of a condo it is my dream and fantasy to keep our maintenance fees low and avoid the necessity of special assessments.  I never want to see my monthly fees go up, and it terrifies me that I could get slapped with a special assessment of an unknown amount.  I also wish for world peace, a cure for all diseases, and an end to world hunger.  Unfortunately, as noble as these dreams may be I know that they are not possible.  So what to do?

In any business it is imperative that proper Accounts Receivable ledgers be maintained, and this is especially important for community associations.   It should be a simple task as every month, quarter, or year an amount is due and when its paid the ledger goes down to zero.  Not too much math involved here, and when a unit owner is paying on time it’s quite simple.  Yet, what happens when a unit goes delinquent, or when payments come in on an irregular basis and the ledger is not kept properly?  That I can answer in one word, and that would be “trouble.”

Dear Collections Guy:

After four years a bank has foreclosed on a unit in our association that has not paid maintenance fees all that time.  We thought that when the bank took title the situation would improve, but now we see that the bank is not paying the dues, what can be done?

Signed,

Frustrated in Florida