Business & Office career

Debt Collector

Also called: Bill Collector · Account Collector · Collections Representative · Accounts Receivable Specialist

What debt collectors do, what they earn, how long training takes and how to get started, with official BLS pay data and practical, job-level detail.

Updated By the Career Education Institute Curriculum Team
What does a debt collector do?

Bill and account collectors locate and notify customers of delinquent accounts and arrange for payment, following debt collection laws. The median pay is $47,030 per year (BLS, May 2025), most people train for about Several weeks to months on the job, and employment is projected to grow -10.4% from 2025–35.

Pay data: BLS OEWS, May 2025 · Outlook: BLS 2025–35 · Checked October 15, 2026

  • Median pay
    $47,030
    $22.61/hour · May 2025
  • Job growth
    -10.4%
    2025–35, a projected decline
  • Openings per year
    11,200
    Average, 2025–35
  • Typical entry education
    High school diploma or equivalent
    BLS classification
  • Time to train
    Several weeks to months on the job
    Typical program length
  • U.S. jobs
    160,200
    Employment, 2025

What debt collectors do

Debt collectors recover money owed. They call or message customers with past-due accounts, explain balances, set up payment plans, update records and follow strict laws on how and when they can contact people. They work for collection agencies, hospitals, banks and utilities.

A high school diploma and moderate on-the-job training are typical. BLS projects a decline as automation grows.

Typical duties

  • Contact past-due customers
  • Explain balances
  • Arrange payment plans
  • Process payments
  • Update account records
  • Follow collection laws
  • Locate customers

Work environment and schedule

Collectors work in call centers and offices, and many work remotely.

Schedule: Full time, including some evenings and Saturdays when people are home.

A day in the life

  1. Review the call queue.
  2. Make outbound calls.
  3. Set up a payment plan.
  4. Process a payment.

See a full day in the life of a debt collector →

Debt Collector salary

Half of debt collectors earned more than $47,030 and half earned less in May 2025. Pay ranged from about $34,400 for the lowest 10% to $65,580 for the top 10%.

Full debt collector pay scale and hourly rates →

How to become a debt collector

  1. Finish high school
  2. Apply to an agency or company
  3. Learn collection laws
  4. Hit targets
  5. Advance

A high school diploma and moderate on-the-job training are typical.

Step-by-step guide to becoming a debt collector →

Skills and tools

Technical skills

  • Collection laws
  • Negotiation
  • Payment processing
  • Skip tracing
  • Account management

People skills

  • Composure
  • Empathy
  • Persistence
  • Professionalism

All debt collector skills and tools →

Pros and cons

Pros

  • No degree needed
  • Commission potential
  • Remote options
  • Clear metrics

Cons

  • Declining employment
  • Hostile calls
  • Strict legal rules
  • High stress

Certifications and licenses

  • Professional Collector Certification: ACA International.
  • FDCPA training: Required knowledge.
  • State collector license: Required in some states.
  • Healthcare collections training: Helpful.

Career path

  1. Collector: Entry.
  2. Senior Collector: Complex accounts.
  3. Collections Supervisor: Lead teams.
  4. Collections Manager: Run departments.

Learn the job before day one

Our Debt Collector training (10 hours, $89.99) covers the role, 15+ key terms, step-by-step procedures such as make a compliant collection call and set up an affordable payment plan, safety and how to land your first job.

View Debt Collector trainingIs this career right for me?

Billing Clerk

Prepare invoices, post payments and keep customer accounts accurate.

  • $48,500
  • A few months on the job

Credit Counselor

Help people get out of debt and manage their money.

  • $52,230
  • Moderate on-the-job training

Bookkeeper

Record transactions, reconcile accounts and keep a business’s books accurate.

  • $50,670
  • 3–12 months

Compare: Debt Collector vs. Customer Service Rep · Debt Collector vs. Billing Clerk · Debt Collector vs. Credit Counselor · Debt Collector vs. Bookkeeper

Debt Collector FAQ

Do debt collectors need a license?

In some states, yes.

Is the job declining?

BLS projects decline.

Can collectors work remotely?

Many do.

How much does a debt collector make?

The median annual wage for debt collectors was $47,030 ($22.61 per hour) in May 2025, according to the U.S. Bureau of Labor Statistics. The lowest 10% earned less than $34,400 and the highest 10% earned more than $65,580.

How long does it take to become a debt collector?

Most people need about Several weeks to months on the job of training. A high school diploma and moderate on-the-job training are typical.

Do you need a degree to be a debt collector?

No four-year degree is typically required. BLS lists “high school diploma or equivalent” as the typical entry-level education, plus moderate-term on-the-job training.

More debt collector questions →

Sources

Reviewed by the Career Education Institute Curriculum Team. Pay figures are national estimates; local pay varies. See our editorial policy.

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