Population: 295,734,134

Economy Overview:

The US has the largest and most technologically powerful economy in the world, with a per capita GDP of $40,100. In this market-oriented economy, private individuals and business firms make most of the decisions, and the federal and state governments buy needed goods and services predominantly in the private marketplace. US business firms enjoy considerably greater flexibility than their counterparts in Western Europe and Japan in decisions to expand capital plant, to lay off surplus workers, and to develop new products. At the same time, they face higher barriers to entry in their rivals' home markets than the barriers to entry of foreign firms in US markets. US firms are at or near the forefront in technological advances, especially in computers and in medical, aerospace, and military equipment; their advantage has narrowed since the end of World War II. The onrush of technology largely explains the gradual development of a "two-tier labor market" in which those at the bottom lack the education and the professional/technical skills of those at the top and, more and more, fail to get comparable pay raises, health insurance coverage, and other benefits. Since 1975, practically all the gains in household income have gone to the top 20% of households. The response to the terrorist attacks of 11 September 2001 showed the remarkable resilience of the economy. The war in March/April 2003 between a US-led coalition and Iraq, and the subsequent occupation of Iraq, required major shifts in national resources to the military. The rise in GDP in 2004 was undergirded by substantial gains in labor productivity. The economy suffered from a sharp increase in energy prices in the second half of 2004. Long-term problems include inadequate investment in economic infrastructure, rapidly rising medical and pension costs of an aging population, sizable trade and budget deficits, and stagnation of family income in the lower economic groups.

General Business Practices.

a). The main language is English and this is used in all court proceedings.
b). The US dollar is the monetary unit used in United States.
c). There is no professional etiquette to follow in business proceedings.

Collections.

A. Background of Industry.

1. The estimate for collections in United States in 1994 was $92 billion.
2. Collection assignments are handled by both Collection agencies and lawyers, referred to as attorneys.
The majority of collection agencies in the US are members of American Collectors Association, the worlds biggest international trade association.
The majority of cases handled by agencies are consumer debts, whereas Attorneys specialise in the collection of commercial debts.

B. Licensing Requirements.

A Licensing and bond requirements vary from state to state, and association to association, Appendix A goes into depth.
Most reputable collection agencies are licensed and are bonded.

C. General Procedures.

Collections agencies will usually send a serious of letters followed by several telephone calls to the debtor. If the amount of claim is in excess of $100,000 personal contact is made with the debtor.
Most agency's will forward accounts to attorney's for further processing if they are not successful. Attorneys will attempt to collect the outstanding debt amicably, then will advise of further recommendation which may include a law suit or closing of the file if the amount is regarded as uncollectable.
The most common steps for a collection assignment include
1. Send out collection letter
2. Skip tracing to locate the debtor if they have moved, 3. Making a series of phone calls to collect the account or set up pay
ment replans.
4. Make enq