Improve settlement rate success with IVR and Agent Assisted Payments

If you’re collecting overdue invoices, you already know the frustrating bit isn’t always the refusal to pay — it’s the delay. The “can you resend the invoice?”, the “AP needs the PO”, the “I’ll get it signed off”, the “pay run is next week”… and then the same conversation again.

In the UK, that delay culture isn’t a small problem. Research shared by the UK Small Business Commissioner puts the cost of late payments at almost £11bn a year, with 14,000 businesses closing annually as a result — about 38 a day.

So when you do finally get the debtor on the phone and they say, “Yes, we can pay,” you want to remove every possible obstacle between that moment and money landing in your account.

That’s where IVR payments and Agent Assisted Payments come into their own. Not as “tech for tech’s sake”, but as a practical way to increase settlement success by making payment immediate, simple, and secure — without your agents ever seeing card details.

This article shows you how to use both approaches to raise settlement rates, reduce broken promises, and speed up cash coming in.

Why settlement rates drop: it’s usually friction, not attitude

A lot of businesses assume settlement success is all about pressure. In reality, plenty of customers intend to pay, but the payment moment slips because:

• the person on the phone can’t access a payment method right now
• the payment needs a different contact to process it
• the debtor doesn’t want to read card details out loud
• your team can’t take card payments securely on the call
• you end the call with “send me the bank details” and lose momentum
• the debtor agrees to pay, then forgets — and you’re back to chasing

So the goal isn’t to “win an argument”. It’s to turn agreements into transactions.

If you’re already running a structured chase process through Outsourced Credit Control, adding secure pay-by-phone options can be the difference between “promise to pay” and “paid today”.

What IVR and Agent Assisted Payments actually are (in plain English)

IVR payments (self-serve)

An IVR (Interactive Voice Response) payment lets the customer pay using their phone keypad (or sometimes voice) without speaking to an agent. It’s a self-service route that can be available 24/7. Providers describe this as a way for customers to make secure card payments by phone without needing an agent for straightforward transactions.

Why it helps settlement: the debtor can pay the moment they decide to pay — including outside office hours.

Agent Assisted Payments (mid-call, but agent can’t see card data)

Agent Assisted Payments keep your agent on the line while the customer enters card details privately via keypad. Critically, the agent doesn’t see the sensitive card details, but still gets confirmation (authorization code / success message) so the conversation continues smoothly. 

Why it helps settlement: you keep the human conversation (which increases commitment), while removing the security and compliance headaches of taking card details verbally.

The compliance angle (and why it matters to settlement)

When you take card payments over the phone, you’re immediately in “do this properly” territory. The PCI Security Standards Council has specific guidance for protecting telephone-based card data, including controls around how card data is handled, recorded, stored, and accessed.

Agent-assisted and IVR models reduce risk because card details don’t have to be spoken aloud to an agent, and can be kept out of call recordings and agent desktops. That’s why you’ll often see features mentioned like DTMF suppression/masking, tokenisation, and real-time redaction in payment-security explanations.

Here’s the practical point: people are more willing to pay when they feel safe. If a debtor hesitates because they don’t want to read card details out loud (or they’re worried the call is recorded), your settlement rate drops. Secure pay-by-phone removes that hesitation.

Where IVR beats Agent Assisted (and where it doesn’t)

Both tools improve settlements, but they work best in different moments.

Use IVR when:

• the debtor already agrees they owe it
• the payment is simple (single invoice or agreed amount)
• you want after-hours payment options
• you’re dealing with high volume, lower-value transactions
• you want to reduce pressure on agents

IVR also works well as a follow-up option: “I’m sending you a text now — you can pay in 2 minutes.”

Use Agent Assisted Payments when:

• the debtor needs reassurance or a conversation before paying
• there’s a partial payment negotiation
• you’re settling a disputed element but collecting the undisputed balance
• you want to secure payment during a collections call
• you want the agent to stay in control of the process without touching card data

If you’re handling tricky conversations (pushback, excuses, disputes), keep your call skills sharp — this guide is useful for practical collection behaviour: Six Tips for Making Successful Debt Collection Calls.

The 7 ways IVR + Agent Assisted Payments lift settlement success

1) You stop losing momentum after the “yes”

A debtor says they’ll pay today, but you can’t take payment on the call. You end up with a follow-up email, a bank transfer that never arrives, or “we’ll do it on the next run”.

With agent-assisted payments, you can go: “No problem — we can do that now while I’m on the line.” That single change can lift same-day settlements because the commitment becomes immediate.

2) You reduce “promise-to-pay” breakage

Most credit control teams have a silent KPI: how often a promise is broken.

IVR links sent by SMS/email and agent-assisted payments both reduce the gap between agreement and payment — which reduces forgotten payments and “admin delays”.

To tighten your overall process and tracking, this KPI framework helps: Credit Control KPIs That Matter: DSO, CEI, PCE.

3) You make partial settlements easier

Partial payments can be useful, but only if you handle them properly.

The strength of agent-assisted payments is that you can agree on a figure and take it immediately, while confirming the remaining balance and timetable in writing.

If you regularly get “we can pay something now”, use this approach: How to Handle Part-Payments: Accepting Money Without Losing Leverage.

4) You remove the “security discomfort”

Some people simply won’t read card details out loud to a stranger on a recorded line. That’s not them being difficult — it’s basic caution.

Agent-assisted models are specifically designed so the agent isn’t exposed to card details, while the customer uses keypad entry and the agent receives confirmation.

5) You speed up dispute resolution payments

Disputes often slow payment because the debtor uses them to stall the whole invoice.

A strong approach is:

• separate the undisputed amount
• agree a settlement for the disputed portion (if appropriate)
• take payment immediately for the undisputed balance (and/or the settlement)

If you’re dealing with contested invoices, this is the right mindset and process to follow: Contested Debts and Disputes.

6) You reduce operational drag (which improves consistency)

Collections fail when chasing is inconsistent. Secure payment tools reduce admin load:

• fewer “can you resend details” messages
• fewer payment links requested
• fewer bank-transfer “proof of payment” chases
• less time re-contacting people who said they’d pay

If the bigger issue is capacity and consistency, that’s exactly what Outsourced Credit Control is built to solve.

7) You create cleaner escalation when someone won’t engage

Even when debtors won’t pay, secure payment capability helps because your records become stronger:

• “Offered payment options”
• “Debtor agreed, then failed to pay”
• “Payment link sent and ignored”
• “Multiple opportunities to settle”

That supports your escalation steps — whether you move to formal letters, pre-action protocol, or recovery.

For escalation structure, these are useful:

• How to Write a Debt Collection Letter
• Pre-Action Protocol for Debt Claims (UK)

How to implement this in your collections workflow (without overcomplicating it)

Here’s a practical, real-world way to slot IVR and agent-assisted payments into what you already do.

Phase 1: Pre-due and day-1 overdue (preventive collection)

• Confirm invoice received and approved
• Offer a fast pay option early (IVR link or pay-by-phone)
• Remove “admin excuses” immediately (POs, evidence, invoice details)

If you’re still seeing slow payers, prevention matters too — especially if you’re extending credit overseas or to new accounts. Consider UK & International Credit Checking so you don’t build risk into your ledger.

Phase 2: Day 7–21 overdue (collection with commitment)

This is where agent-assisted payments perform best:

• You speak to the right person
• You confirm there’s no genuine dispute
• You agree the amount and date
• You take the payment there and then

If they can’t pay in full, take a meaningful part-payment immediately and confirm the balance plan.

Phase 3: 21+ days overdue (structured escalation)

At this point, payment tools still help — but you combine them with firm escalation:

• formal demand wording
• statutory interest where appropriate
• clear deadlines and next steps

You can estimate potential charges using the Late Payment Calculator and understand the broader position via Reclaiming Costs and Interest.

If the invoice is simply not moving, it’s time to switch from chasing to recovery through Debt Recovery or Invoice Recovery.

A quick script you can use on calls (that doesn’t sound robotic)

You’re aiming for calm, direct, and easy:

“Thanks — if you’re happy to settle this today, we can take payment securely while I’m on the line. You’ll enter the card details privately on your keypad, and I’ll stay with you throughout. Would you like to do that now?”

If they want to pay later:

“No problem. I’ll send a secure pay-by-phone option straight after this call. What time today should I check back if it hasn’t been done?”

It’s simple — but it moves the debtor from “agreement” to “action”.

Where this fits if you collect internationally

Cross-border collections can add delay: different banking rails, time zones, language, and local payment expectations.

This is where “pay now” options can be even more powerful — because bank transfers and approvals can drag on.

If you’re collecting overseas regularly, use a specialist route like International Debt Collector or a regional approach such as European Debt Recovery Agent.

And if the debtor has disappeared or details are wrong, don’t waste weeks chasing dead ends — use Tracing Services.

The real takeaway: settlements improve when payment is immediate, secure, and easy

IVR and agent-assisted payments aren’t a gimmick. They’re a practical response to the reality that:

• late payments cost UK businesses billions
• “I’ll pay later” is where settlements go to die
• people pay faster when the payment moment is frictionless and secure
• clean processes and clear escalation win more cash, more often

Next steps

If you want to increase settlement rates, cut down broken promises, and make it easier for customers to pay while you’re speaking to them, Taurus Collections can help you build a credit control process that actually converts conversations into cash.

Start by reaching out via Contact Taurus Collections and tell the team what you collect, your average invoice values, and where payments typically get stuck. You’ll get a straightforward plan to improve settlements — including the right mix of process, escalation, and payment options that work in the real world.