Supportkids� Child Support Collections Surpass $320 Million
Nation�s Leading Private Child Support Enforcement Company Tackles a
National Dilemma Affecting Millions of Children
March 02, 2007 - AUSTIN, Texas–(BUSINESS WIRE)–Supportkids, the nation�s
largest private child support enforcement company working directly with
families, announced today that the company has exceeded $320 million dollars
in child support collections. The number of families that the company has
helped continues to increase as well � more than 50,000 families have
received child support through Supportkids� services.
Why Are Private Sector Options Needed?
As of the end of fiscal year 2005, $106 billion in past-due child support
was owed nationally, and almost $12 billion in current child support went
uncollected. Private companies are an important option for those families
who have not had success collecting their child support through government
agencies. In fact, these are the families who turn to private companies for
help. The average Supportkids client has not received a child support
payment in over four years, and according to a General Accounting Office
(GAO) report, over 95% of the custodial parents who turn to private child
support enforcement companies have unsuccessfully tried to collect their
child support through the government system.
The Economics of Child Support
The picture is not likely to get any better for parents struggling to get
the child support owed their children. Government child support collection
efforts are funded through both state and federal programs. The Federal
Deficit Reduction Act signed into law in 2006 will reduce federal funding of
state child support agencies by $4.8 billion through 2015. On average, state
agencies collect four dollars in child support for every dollar they spend.
If the reduction in federal support is not made up at the state level,
collection rates by government agencies will likely suffer.
Keys to Success
Why are private child support agencies able to collect when the government
has been unsuccessful? According to the GAO report, private child support
agencies have much smaller caseloads compared to their government
counterparts. Supportkids employs a staff of 175, including specialists in
skip tracing and child support enforcement. Supportkids has collected child
support for families all across the country by using many of the same tools
used by government agencies to enforce child support orders, including wage
withholding, placing liens on property, and when necessary, pursuing legal
remedies through the use of a nationwide network of attorneys. However, the
individual case attention is the single biggest reason why private child
support agencies like Supportkids are successful on cases in which the
government sector has failed to collect.
About Supportkids
With clients all across the nation, Supportkids uses on-site investigators
and cooperation with state and federal agencies to fulfill its mission to
make a difference for families struggling with the issue of unpaid child
support. For more information, visit the company�s website at
www.supportkids.com or call 1-512-437-3902.
Contacts
for Supportkids
Elizabeth Christian & Associates Public Relations
Meg Meo, 512-494-2867
mmeo@echristianpr.com
