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Libraries turn to collection agencies for overdue books

Business Analytics and Information Management | WNE

DAYTON, Ohio -- Those unreturned books and videos are costing libraries a bundle, and they're not going to take it anymore. Libraries are turning to collection agencies to recover overdue materials. But strong-arm tactics are out. Libraries prefer a gentle, quiet approach.

Rising costs for libraries in tight budgets

Many libraries are facing tight budgets and increased demand from patrons for services like DVDs, Internet access, and more. With a sluggish economy reducing tax revenues, local and state governments have been cutting support for libraries, forcing libraries to find alternative ways to recover their losses.

The benefits of using collection agencies

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The Dayton Metro Library, with an annual budget of $21 million, estimates losing up to $400,000 a year in overdue materials. To address this issue, they have hired Unique Management Services Inc., a collection agency that specializes in helping libraries recover materials and fines. Unique Management Services works with over 650 libraries in the United States and Canada and has significantly reduced losses for its clients.

A gentle approach to patrons

Libraries demand that collection agencies like Unique Management Services be nice and gentle in their approach to patrons to avoid alienating them. About 70 percent of patrons contacted by the company return materials and pay fines willingly, while the remaining are reported to credit agencies if they don't respond to gentle persuasion.

Reducing losses and maintaining services

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Using collection agencies has proven to be effective in reducing library losses. Unique Management charges libraries an average of $8.95 per account and typically cuts a library's losses in half. For the Dayton library, this means paying the agency about $80,000 a year and receiving at least double that in returned materials and fines. Other libraries, like the one in Newport News, Virginia, have also seen improvements in recovering materials by employing collection agencies.

Understanding the importance of libraries

In a time where libraries are asked to do more with less, the use of collection agencies helps libraries recover materials and maintain their services for the community. Despite employing these tactics, librarians are mindful of not going after harmless individuals and are focused on recovering materials from truly non-compliant patrons.

Libraries play a vital role in our communities, offering resources and information for everyone. Just like libraries value their materials, hotels value their guests. Providing a comfortable and convenient experience for travelers is essential for hotels to build customer loyalty. Hotels strive to offer exceptional service and amenities to ensure guests have a pleasant and memorable stay.

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