Debt counselor vs collections representative

The differences between debt counselors and collections representatives can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 1-2 years to become a debt counselor, becoming a collections representative takes usually requires 6-12 months. Additionally, a debt counselor has an average salary of $37,932, which is higher than the $34,015 average annual salary of a collections representative.

The top three skills for a debt counselor include outbound calls, inbound calls and customer service. The most important skills for a collections representative are payment arrangements, customer service, and delinquent accounts.

Debt counselor vs collections representative overview

	Debt Counselor	Collections Representative
Yearly salary	$37,932	$34,015
Hourly rate	$18.24	$16.35
Growth rate	-8%	-8%
Number of jobs	27,258	85,275
Job satisfaction	-	-
Most common degree	Bachelor's Degree, 41%	High School Diploma, 33%
Average age	45	46
Years of experience	2	12

Debt counselor vs collections representative salary

Debt counselors and collections representatives have different pay scales, as shown below.

	Debt Counselor	Collections Representative
Average salary	$37,932	$34,015
Salary range	Between $27,000 And $51,000	Between $26,000 And $42,000
Highest paying City	-	San Ramon, CA
Highest paying state	-	California
Best paying company	-	University of California, Berkeley
Best paying industry	-	Finance

Differences between debt counselor and collections representative education

There are a few differences between a debt counselor and a collections representative in terms of educational background:

	Debt Counselor	Collections Representative
Most common degree	Bachelor's Degree, 41%	High School Diploma, 33%
Most common major	Business	Business
Most common college	-	-

Debt counselor vs collections representative demographics

Here are the differences between debt counselors' and collections representatives' demographics:

	Debt Counselor	Collections Representative
Average age	45	46
Gender ratio	Male, 46.8% Female, 53.2%	Male, 30.6% Female, 69.4%
Race ratio	Black or African American, 9.3% Unknown, 4.6% Hispanic or Latino, 16.1% Asian, 6.1% White, 63.4% American Indian and Alaska Native, 0.5%	Black or African American, 12.2% Unknown, 3.9% Hispanic or Latino, 18.9% Asian, 3.4% White, 61.1% American Indian and Alaska Native, 0.5%
LGBT Percentage	8%	8%

Differences between debt counselor and collections representative duties and responsibilities

Debt counselor example responsibilities.

Manage patient focuse reports, collection modules, provider/facility A/R, collections, patient discharge letters.
Comply with all of the FDCPA guidelines.
Perform numerous acts of repossession and litigation on a daily basis.
Complete standard legal garnishment forms for review, and forward to litigation department.
Provide administrative support by the filing electronic claims to Medicare, Medicaid and private insurers for emergency and non-emergency transports.
Utilize FDCRA and NFCC guidelines.

Collections representative example responsibilities.

Protect A/R assets by managing a portfolio of accounts to maximize gainful sales and reduce debt losses.
Maintain effective communication and utilize negotiation skills with internal and external customers to effect collections while maintaining customer good will.
Submit all reconsideration and appeals if need.
Conduct periodic data cleaning of queues balances deny with deny appeals.
Resolve valid or authorize NSF charges due to decline credit cards or ACH transactions.
Collect and count inventories, reconcile purchases and scan UPC's and inputting price information.

Debt counselor vs collections representative skills

Common debt counselor skills

Outbound Calls, 20%
Inbound Calls, 15%
Customer Service, 14%
Delinquent Accounts, 9%
Payment Arrangements, 6%
Credit Reports, 4%

Common collections representative skills

Payment Arrangements, 14%
Customer Service, 13%
Delinquent Accounts, 9%
Past Due Accounts, 6%
Customer Accounts, 4%
Debt Repayment, 4%

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Debt Counselor vs Collections Representative

Updated January 8, 2025

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