§ 213.14 - Contracting for collection services.

§ 213.14 Contracting for collection services.

Cross Reference

Link to an amendment published at 86 FR 31143, June 11, 2021.

USAID has entered into a cross-servicing agreement with the Financial Management Bureau of the Fiscal Service (FMSFiscal Service) of the U.S. Department of the Treasury. FMS Fiscal Service is authorized to take all appropriate action to enforce the collection of accounts referred to FMS it in accordance with applicable statutory and regulatory requirements. The FMS fee ranges from 3% to 18% of Fiscal Service bases any applicable fees on the funds collected, and will be collected collect such fees from the debtor along with the original amount of the indebtedness. After referral, FMS Fiscal Service will be solely responsible for the maintenance of the delinquent debtor records in its possessions possession, and for ensuring that updating the accounts are updated as necessary. In the event that a referred debtor disputes the validity of the debt or any terms and conditions related to any debt not reduced to judgment, FMS may return the disputed debt to USAID for its determination of debt validity. FMS may Fiscal Service may take any of the following collection actions on USAID's behalf:

(a) Send demand letters on U. S. Treasury letterhead and telephone debtors;

(b) Refer accounts to credit bureaus;

(c) Skiptracing;

(d) Purchase credit reports to assist in the collection effort;

(e) Refer accounts for offset, including tax refund, Federal employee salary, administrative wage garnishment, and general administrative offset under the Treasury Offset Program.

(f) Refer accounts to private collection agencies;

(g) Refer accounts to DOJ for litigation;

(h) Report written off/discharged debts to IRS on the appropriate Form 1099;

(i) Take any additional steps necessary to enforce recovery; and

(j) Terminate collection action, as appropriate.

[67 FR 47258, July 18, 2002, as amended at 86 FR 31143, June 11, 2021]