Cross-Servicing

Cross-Servicing is the process whereby federal agencies refer delinquent debts to Treasury for collection. The Debt Collection Improvement Act of 1996 (DCIA) makes Treasury responsible for collecting delinquent debts Government wide. The DCIA requires agencies to transfer their delinquent non-tax debt over 180 days delinquent to Treasury. Transfer is the mandatory referral of delinquent debts to Treasury or another Debt Collection Center for purposes of collection. The agency retains responsibility for reporting the debts on the Report on Receivables Due from the Public (for direct and insured loans) and the Report on Guaranteed Loans (for guaranteed loans). The agency is also responsible for removing accounts from its receivables when Treasury directs it to write off the debt.

In order to effectively collect the debts that agencies refer, Treasury issues demand letters, conducts telephone follow-up, initiates skip tracing, refers debts for administrative offset, performs administrative wage garnishment and refers debts to private collection agencies on the debt collection contract.

Cross-Servicing Implementation Guide

The Cross-Servicing Implementation Guide is a useful information source that discusses all aspects of Cross-Servicing. The guide not only contains Cross-Servicing contacts, and general information in reference to the DCIA requirements, but outlines the DMS collection process, notice of rights to debtors, fees, the Letter of Agreement, Agency Profile Form, data formats, and reporting information. Below, you may download various forms to utilize such as the Agency Profile, and Debt/Debtor Information forms.

• Complete guide, revised May 2004
  • Steps 1-6: Introduction, statutory requirements, the DMS collection process, notices to debtor, letter of agreement, agency profile form, and certification.
    
  • Step 7: Data formats and transmissions (both electronic and manual data submissions).
    
  • Steps 8-9: The basis for debt rejection and reporting results.

• Cross-Servicing Forms:
  
  

  • New Manual Debt Referral Process
    (Does not apply to agencies that currently submit their debts electronically)
    • Manual Debt Entry Automation for Debt Management Service (MEADMS)
    • Foreign Debtors, Judgment Debtors, or Multi-Debtors Single Debt

• Recall Request
  
• Certification Agreement for Cross-Servicing
  

Guide to the Federal Credit Bureau Program

Reporting Federal Debts to Credit Bureaus

• Administrative Wage Garnishment
• Private Collection Agencies
• Common Questions & Answers
• Submit questions using Comment Form
• View PDF files using Acrobat Reader