What Is ARS Collections and Why Is It on My Credit Report?

FT Contributor

Advanced Recovery Systems Collections (ARS Collections), also known as ARS National Services, Inc., is a debt collection agency. It is a business-to-business (B2B) company within the financial services industry and primarily specializes in healthcare debt recovery.

However, ARS Collections also collects on federal student loan debts and credit card debts. The agency utilizes automated calling (robocalls), warning letters, skip tracing software, and other standard debt-collection methods.

Lenders and other creditors (e.g., banks, credit card issuers, or personal loan lenders) use debt collection agencies to recover past-due funds (at least 60 days past due). These lenders stop attempting to collect a debt and close the account; collection agencies then buy the debt and manage it.  

These agencies function as a go-between to collect a variety of outstanding debts, including:

  • Car loans;
  • Credit card debt;
  • Medical bills;
  • Student loans;
  • Unpaid utility bills.

Agencies only get paid when they collect money from you — the more money an agency reclaims, the more payment it receives for its services.

Table of Contents

Is ARS Collections a Legitimate Collection Agency?

Yes, ARS Collections is real. According to the Better Business Bureau (BBB), it is a legitimate collection agency incorporated in 2003.

ARSCollections Complaints

Currently, there are no BBB or Consumer Financial Protection Bureau complaints listed against ARS Collections. However, many private third-party consumer protection websites report that ARS has engaged in illegal collection practices.

What Should You Do if You See ARS Collections on Your Credit Reports?

Seeing ARS Collections (or any collection agency) on your credit report — or being contacted by a loan collection agency or a debt collector can feel daunting and impossible to resolve.

You can’t simply ignore the situation, or you risk having collectors report you to the credit bureaus and damaging your credit score. They will continue to attempt to contact you and potentially repossess your assets (e.g., foreclose on your home or repossess your car).

Below are some of your options for dealing with debt collectors if you see a collection agency listed on your credit reports.

Verify the Debt Is Legitimate

There is the possibility that the debt listed in your name may not be legitimately yours. It could be someone else’s, or the amount could be incorrect. You can send ARS Collections a debt validation letter demanding they prove the debt is, in fact, yours and the amount is correct.

You should also review your personal documents and records (e.g., the payment history from the original lender and any payment agreements or written communications you had) to ensure the debt actually is yours.

Legitimate debt collectors always communicate in writing through the mail. They will not contact you via email without also sending you a formal letter in writing. If you’ve received a call from an agency but no written communication, that should be a red flag.

Another cause for concern is if a collection agency refuses to share the name of their company, street address, or phone number.

Keep in mind debt collectors are prohibited from calling you before 8 a.m. or after 9 p.m. If you send a cease and desist letter, they are required to stop contacting you altogether, except to inform you of their next step.

Finally, unless you have verified a collection agency is legitimate, never share any personal or debt-related information. Legitimate debt collectors already have substantial information about you from the original lenders.

Record Conversations or Contact With Collection Agencies

Take detailed notes of every conversation and interaction you have with the collection agency. Be sure to capture:

  • The date and time of each phone call you receive
  • The name and agency of the person who contacts you
  • Every voicemail they leave
  • A summary of your conversations

This information will help protect you if they break any laws.

Consult With a Credit Counselor

If you feel like you need support, a credit counselor can help you remove collections agencies from your credit report, create a plan to manage your debt, and rebuild your credit.

A credit counselor can help you improve your financial situation, including offering tools and resources to help you gain control. They may also be able to negotiate with your creditors to lower your payments.  

How to Remove ARS Collections From Your Credit Reports

The way to remove ARS Collections from your credit reports depends on whether the debt is actually yours. It’s easier to remove disputed debts than ones that you really incurred.  

If you were a victim of fraudulent behavior, you will likely be able to remove ARS Collections from your account. However, you will need to work with the credit bureaus directly (not ARS Collections) to remove them from your reports.

For debts you paid off, you may be able to get a goodwill deletion. For this, you write a letter to the collector stating why you should have the collection removed. There are no guarantees they will honor your request, but you won’t know if you don’t try.

If you are having trouble removing ARS Collections from your credit report, a credit repair company may be able to help you. These companies specialize in removing negative items from your credit report.

Will ARS Collections Sue Me?

If you don’t repay or settle the outstanding payment, debt collectors can sue you. If your debt amount is small, chances are you won’t end up in court. However, if you owe them a lot of money, they may sue you. If they do take legal action, the court will send you a notice informing you of your appearance date.

Image Source:


Keep Learning


Want a FREE Credit Evaluation from Credit Saint?

A $19.95 Value, FREE!

This site is part of an affiliate sales network and receives compensation for sending traffic to partner sites, such as This compensation may impact how and where links appear on this site.  This site does not include all financial companies or all available financial offers. Learn more in our Earnings Disclaimer.
Get a FREE Credit Evaluation from Credit Saint Today!