Statistics show that after 90 days, the effect of in-house collection efforts wears off by as much as 80%. Delinquent accounts within the 60-90 day past due time-frame are more likely to yield positive results from in-house debt collection efforts. By this point, you have likely requested payment at least four to six times in the form of phone calls, letters and statements. After systematically pursuing your debt collection accounts for 60 to 90 days from the initial due date, with no recovery, you're being delivered a message by your debtor. After this point, it becomes increasingly more difficult to convince a debtor to pay you.
Referral to a third-party debt collector, who can motivate debtors to pay you the amount owed without delay, may succeed in collecting accounts, where in-house efforts were insufficient.
Read more here: Guide to In-House Debt Collection