Many Millennials have now graduated college, gotten jobs, and built up debt. Now Millennials are part of the larger consumer base. When you have to collect from them, do you need different strategies?

Reaching Millennials

You might find that Millennials prove more difficult to reach. Many of them have completely eliminated landlines, opting to use their smartphones instead. Even more importantly, they often don’t get a place of their own. As of 2014, more than 32 percent of 18- to 34-year-olds were living with their parents, according to the Pew Research Center.

What does this mean for your collection attempts? You might not be able to find Millennials as easily as you could older generations. Since they’re living with their parents or with friends, they’re not as easy to trace using conventional methods, such as an address search. The Telephone Consumer Protection Act imposes more restrictions on debt collectors when they call mobile phones than when they call landlines.

Student Debt Can Create a Crushing Weight

Young couples carrying thousands of dollars in student debt often can’t afford to pay other bills.

In addition to the issues related to where Millennials live and what types of communication devices they use, many have become overburdened by student loan debt. Collectively, “Americans owe $1.4 trillion in student debt.” Many of those with student loan debt are Millennials.

While this represents a problem by itself, it can also make small businesses less likely to collect debts from the younger generations. Graduates who put more of their budget toward student loans might not have the cash available to pay off other creditors.

If you offer student loans as part of your business model, you might struggle to collect at all. Some Millennials don’t earn enough money after college to support themselves and to make loan payments.

Collecting from Millennials

If you’re struggling to collect debts from Millennials, you are not alone. However, you don’t have to suffer the financial consequences of simply writing off those accounts.

Working with a third-party debt collection specialist that has sophisticated skip-tracing software might help you reach more Millennials. You might not have the tools necessary to track down debtors, so consider referring those types of accounts to the professionals.

Consider asking for more information when you allow customers of all generations to open credit accounts. The more information you can gather, the easier it becomes to reach out to them if they don’t pay their bills.


As the percentage of Millennials in your customer pool continues to increase, keeping these strategies in mind will be essential to your cash flow. If you’re proactive in your approach, collecting from Millennials won’t pose a challenge to your bottom-line.

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