Collector Salary Ranges & Educational Requirements
Educational Requirements for Debt Collectors
Debt collection representatives can come from a wide educational background. Most entry-level debt collection jobs will only require a general education diploma.
It is common for new hires to receive an introductory period of training in order to learn company policies, procedures, computer systems, and related software required to perform specific job functions. Often, training in federal and state laws will occur as well, and will include testing for company specific certification that the employee meets the requirements for the position. Although there are a variety of software programs available on the market for debt collections, many companies choose applications designed to suit their needs or those that allow their internal IT department to modify and customize when necessary.
Debt Collector Salaries
As with most industries, salary and wage expectations are often dependant on a candidate's education and prior experience. Inexperienced or entry level debt collectors can expect to make less than a debt collector with five or more years of experience.
According to the Bureau of Labor Statistics, Occupational Employment Statistics, Occupational Employment and Wages, May 2008, for Bill and Account Collectors, bill and account collectors make on average an hourly wage of $15.47, or an annual salary of $32,180, with the lowest at $10.17 hourly and $21,150 salary to the highest earnings of $22.07 hourly, and $45,900 salary. It is important to keep in mind that as well as wages, there is also the possibility of commission earnings for some debt collectors paid separate from hourly or salary wages. The average commission in the United States is currently around 12%.
It is common to see job postings by third party collection agencies that claim their top debt collectors make $80,000 dollars and up. Many debt collectors will agree that their profession is a financially rewarding career.