Ride Out the Recession with Buffalo and its Collection Agencies

BusinessWeek Wednesday published a list of best cities in which to ride out a recession, and Buffalo, N.Y., a major debt collection agency hub, snagged a spot on the list.

The magazine noted that debt collection – an industry the magazine classified as “lucrative” in the current economy — is the strongest industry in Western New York.

Other top reasons for Buffalo making the cut were: employment diversity that is less dependent on manufacturing and education.

Also, the city offers employment protection, a factor that makes it attractive in a down economy. Buffalo provides protection for people not only working in healthcare and education, but also for banks and other financial institutions, local TV station WKBW said.

Buffalo has long been a major hub of collection activity. Earlier this year, The New York Times noted that the debt collection industry was filling the void left by manufacturing plant closings in Buffalo (“New York Times Strikes Another Chord for Collectors,” March 21.)

And it’s a trend that is continuing. In August, one of the area’s largest debt collectors said that it was launching a new business line that could bring another 700 accounts receivable management jobs to Buffalo (“Buffalo Debt Collector Could Create 700 New Jobs,” Aug. 14).