More and more people in Germany are taking out loans and paying in installments. In 2024 alone, over 10 million new contracts were signed, more than ever before. Almost half of these are microloans of less than €1,000. “Buy now, pay later” offers are particularly risky: they seem attractive at first glance, but can quickly lead to payment difficulties.
When bills remain unpaid despite several reminders, debt collection agencies come into play. Sebastian Ludwig emphasizes: “Debt collection is often subject to prejudice. Many see us as the bogeyman. In reality, we see ourselves as problem solvers – for creditors, debtors, and the entire economic cycle.”
The figures show that only a fraction of cases actually end up in debt collection. “Our default rate is less than 0.4 percent. This means that the vast majority of invoices are paid in advance or settled directly,” says Ludwig.
The costs are also clearly regulated today. In the past, reports of excessive fees made headlines – today, every item is limited by law. “Black sheep no longer stand a chance in our industry. Transparency and fairness are our guiding principles.”
For coeo, this means digital processes, clear communication, and a partnership-based approach. The goal is to find solutions that benefit all sides—so that companies remain liquid, debtors are not overwhelmed, and the economic cycle remains stable.
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About the coeo Group
The coeo Group is the leading technology-based debt collection company in Europe. With a clear focus on combining pioneering AI and first-class customer service, coeo is setting new standards in the industry and continuously driving the optimization and further development of receivables management and all other business processes.
Press contact:
Julia Bernhard,
Senior Marketing & Public Relations Manager DACH