Communication & Negotiation Skills Flashcards

A collector opens a negotiation by suggesting a specific payment amount first, so that the rest of the discussion revolves around that number. What is this technique called?

Answer: Anchoring

Anchoring sets a starting point that influences every counteroffer that follows.

A debtor disputes the debt in writing within the 30-day validation period. What must the collector do before continuing collection?

Answer: Stop collecting the disputed portion until verification is mailed to the consumer

Under the FDCPA, a timely written dispute requires the collector to pause collection of the disputed amount until it mails verification.

What is the main benefit of building rapport early in a collection call?

Answer: It builds trust, which makes the debtor more willing to work together on a solution

Rapport lowers defensiveness, and debtors who feel respected are more likely to commit to payment.

A debtor offers $50 per month on a $6,000 balance. Which counter-approach is MOST effective?

Answer: Review the debtor's budget together to find a higher amount they can afford, or explore a lump-sum option

Working through the debtor's finances lets the collector justify a better arrangement without ending the negotiation.

Which of the following is a nonverbal or paraverbal cue a collector should manage on the phone?

Answer: Tone of voice, pace, and volume

On the phone, tone, pace, and volume shape how the message is received, even without visual cues.

In collection negotiations, what does a "win-win" (integrative) approach focus on?

Answer: Finding solutions that meet the creditor's recovery goals and the debtor's ability to pay

Integrative negotiation looks for terms both sides can keep, which improves recovery and reduces broken promises.

Under the FDCPA, which time window is generally presumed convenient for calling a consumer?

Answer: 8:00 a.m. to 9:00 p.m. in the consumer's local time

The FDCPA presumes that calls before 8 a.m. or after 9 p.m. in the consumer's local time are inconvenient.