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Collection Agent

Collection agents use strategies such as letter writing, telephone calls and credit management to collect money owed on past-due accounts.

  • Avg. Salary $44,393.00
  • Avg. Wage $22.06
  • Minimum Education High school diploma
  • Outlook below avg
  • Employed < 1500
  • In Demand Lower
Also Known As

Bill Collector, Claims Collector, Debt Collector, Skip Tracer

NOC Codes

In Canada, the federal government groups and organizes occupations based on a National Occupational Classification (NOC) system. This alis occupation may not reflect the entire NOC group it is part of. Data for the NOC group can apply across multiple occupations.

The NOC system is updated every 5 years to reflect changes in the labour market. Government forms and labour market data may group and refer to an occupation differently, depending on the system used. Here is how this occupation has been classified over time:

  • 2006 NOC: Collectors (1435) 
  • 2006 NOC-S: Collectors (B535) 
  • 2011 NOC: Collectors (1435) 
  • 2016 NOC: Collectors (1435) 
Skills Shortage

Employers that Recruited in the Last 2 Years

Average Wage
  • Certification Not Regulated
  • Strength Required Lift up to 5 kg
Interest Codes
The Collection Agent is part of the following larger National Occupational Classification (NOC).

Interest in compiling and maintaining records and files; may work with on-line accounts and systems


Interest in tracing and locating debtors and in making collection arrangements; may contact debtors' friends, neighbours, relatives and employers to obtain information


Interest in speaking with debtors in person or by telephone to resolve collection issues by making payment arrangements

Reading Interest Codes
A Quick Guide

The interest code helps you figure out if you’d like to work in a particular occupation. 
It’s based on the Canadian Work Preference Inventory (CWPI), which measures 5 occupational interests: Directive, Innovative, Methodical, Objective and Social.

Each set of 3 interest codes is listed in order of importance.

A code in capital letters means it’s a strong fit for the occupation.

A code in all lowercase letters means the fit is weaker.

Learn More

Updated May 17, 2021

Collection agents are employed by businesses, financial institutions, governments and collection agencies to get payments from customers or clients who default on loans, credit card debts, bill payments or other financial obligations.

Collection agents may have a variety of job titles such as:

  • Credit adjuster
  • Bill or claims collector
  • Collection clerk or officer
  • Recovery clerk or officer
  • Receivables control specialist
  • Accounts receivable analyst
  • Loan counsellor
  • Tax collector

Small companies may hire part-time collection agents or assign the task of collection to an employee. Large companies usually hire a number of collection agents or contract a receivables management firm. For accounts that are difficult to collect, businesses may hire legal firms or contract private collection agencies.

Collection agents use tact and diplomacy when collecting overdue accounts to preserve a positive customer relationship with the business. They may use a variety of approaches such as:

  • Sending persuasive letters
  • Telephoning debtors or meeting with them to discuss overdue accounts
  • Arranging a repayment schedule based on the debtor's financial situation if the debtor cannot make a full payment
  • Using local directories, bureaus, registries and the Internet to locate people (sometimes called skip tracing)

They also may:

  • Keep records of payments manually or in a computer database
  • Prepare letters and statements of overdue accounts for mailing

If debtors fail to respond to initial letters, collection agents usually follow up with other letters and phone calls. Most use 3 standard form letters:

  • First a letter of reminder
  • Then a letter requesting contact
  • Finally a legal demand for payment (used only when appropriate)

Collection agents are legally allowed to contact friends, family members, neighbours and employers 5 days after the first letter of reminder has been sent, but only to establish a new phone number or address for the person being sought. Collection agents have access to computer databases and elaborate skip tracing methods for locating people who are difficult to find.

Collection agencies usually are hired by businesses or organizations that have had no luck collecting on their own and are willing to pay a fee to get the money owed.

Collection agencies generally resolve about 40% of their debts through phone calls and letters. Payments not collected by agencies may be abandoned or, in some circumstances, legal proceedings may be instigated. If the matter results in court proceedings, once a legal judgement is passed the collection agent is then allowed to deduct money from (garnish) the debtor’s employment pay until the debt is paid off.

Working Conditions
Updated May 17, 2021

Collection agents work in offices. They may sit for long periods of time working at a computer and using the telephone. Since collection agents often phone people at home, they may work weekends, early mornings or evenings. In Alberta, collection agents are allowed to call between 7a.m. and 10p.m. Dealing with unpleasant, upset debtors can be stressful.

  • Strength Required Lift up to 5 kg
Skills & Abilities
Updated May 17, 2021

Collection agents need:

  • A high degree of motivation, initiative and perseverance
  • Flexibility to respond effectively to the unexpected
  • The ability to negotiate with people courteously and effectively in difficult situations
  • Verbal and written communication skills
  • Listening skills
  • Organizational skills
  • The ability to work under stressful conditions, meet deadlines and not be offended by insults
  • The ability to work in a team environment
  • The ability to follow instructions and pay attention to details

They should enjoy having clear rules and methods guiding their work, speaking with people in person or on the phone, and finding innovative ways to locate debtors and recover debts.

Educational Requirements
Updated May 17, 2021

Most businesses and collection agencies prefer to hire collection agents who have at least a high school diploma. Some companies hire university or college students to work part-time as collection agents.

Collection agents usually are given on-the-job training. They must become familiar with local and provincial regulations governing collection procedures and learn how to negotiate with debtors. They need:

  • Investigative skills to locate debtors and their assets
  • Financial analysis skills to determine a debtor's capacity to pay
  • Sales skills to persuade debtors to pay the money they owe

Collectors working for a collection agency to settle debts on behalf of other businesses must have a provincial collector's licence from the Government of Alberta. Licence is not required if the collector is working directly for the original creditor.

Related Education

The following schools offer programs or courses that are related to this occupation but are not required to enter the field.

Red Deer College

For a broad list of programs and courses that may be related to this occupation try searching using keywords.

Certification Requirements
Updated May 17, 2021

There is currently no provincial legislation regulating this occupation in Alberta.

Employment & Advancement
Updated May 17, 2021

Collection agents are employed by many types of businesses including:

  • Retail and wholesale companies
  • Banks, credit card companies and other lending institutions
  • Hospitals
  • Insurance companies
  • Leasing firms
  • Property management companies
  • Trucking companies
  • Health clubs
  • Hotels and other accommodation businesses
  • Rental agencies
  • Drilling, welding and other service suppliers
  • Utility companies
  • Government departments and agencies
  • Collection agencies

With experience, collection agents in large organizations may advance to legal collections or supervisory positions. In some financial institutions, collection agent is considered an entry level position from which employees may advance.

Collection agents are part of the larger 2011 National Occupational Classification 1435: Collectors. In Alberta, 77% of people employed in this classification work in the following industries:

The employment outlook [pdf] in this occupation will be influenced by a wide variety of factors including:

  • Trends and events affecting overall employment (especially in the industries listed above)
  • Location in Alberta
  • Employment turnover (when people leave existing positions)
  • Occupational growth (when new positions are created)
  • Size of the occupation

In Alberta, the 1435: Collectors occupational group is expected to have a below-average annual growth of 1.4% from 2019 to 2023. In addition to job openings created by employment turnover, 20 new positions are forecasted to be created within this occupational group each year.

Employment turnover is expected to increase as members of the baby boom generation retire over the next few years.

Wage & Salary
Updated May 17, 2021

Collection agents' earnings vary considerably depending on their duties and qualifications, and on the type of employer. Those who work for hourly wages may earn bonuses or commissions on the total dollars collected.

Overall Wage Details
Average Wage
Average Salary
Hours Per Week

Hourly Wage
For full-time and part-time employees
  • Low
  • High
  • Average
  • Median
Wages* Low (5th percentile) High (95th percentile) Average Median
Starting $17.00 $29.29 $20.25 $17.00
Overall $17.00 $34.00 $22.06 $17.00
Top $17.00 $36.06 $22.76 $17.00

Swipe left and right to view all data. Scroll left and right to view all data.

* All wage estimates are hourly except where otherwise indicated. Wages and salaries do not include overtime hours, tips, benefits, profit shares, bonuses (unrelated to production) and other forms of compensation.

C: Lower Reliability
Data Reliability Code Definition

Lower Reliability, represents a CV of between 15.01% and 33.00% and/or if fewer than 20 survey observations and/or if survey observations represent less than 33% of all estimated employment for the occupation.

Industry Information

Skills Shortage

Employers that Recruited in the Last 2 Years


Recruiting Employers that Experienced Hiring Difficulties


Employers with Unfilled Vacancies of over 4 Months


Vacancy Rate

Related Post-Secondary Field of Study
  • Clerical and Administrative Support
Other Sources of Information
Updated May 17, 2021

Credit Institute of Canada website:

Government of Alberta website, collector's licence information:

Get information and referrals about career, education, and employment options from Alberta Supports.

Updated May 17, 2021. The information contained in this profile is current as of the dates shown. Salary, employment outlook, and educational program information may change without notice. It is advised that you confirm this information before making any career decisions.

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