Skip Tracing and Debt Collections
Skip tracing is an important part of debt collection. Most debt collectors use skip tracing in their daily operations. This practice takes place in the collection industry when the contact information on an account is no longer valid. Without accurate contact information, a past due account is not able to be collected on. Skip trace offers the ability to locate the responsible party in order to initiate the collection process and resolve delinquency issues.
Many years ago, it was a typical practice of debt collectors to contact one of the borrower’s other creditors in order to obtain contact information. Collectors would have a rolodex of contacts at most of the major creditors. However, the sharing of contact information is now illegal between creditors and debt collectors once the Gramm Leach Bliley act (GLB Act or GLBA), also known as the Financial Modernization Act of 1999 was enabled.
Many commercial skip tracing tools, such as LocatePlus, make good use of the internet. Skip tracing tools for commercial use have become a necessity after the Gramm Leach Bliley act was passed in 1999. LocatePlus offers the ability for collectors to search through historical and current data on individuals using any manner of compiled information. From old addresses and work history to social security information and family members, LocatePlus supplies collectors with the right data to find people quickly.