Blatter announced this afternoon that he is to resign as the head of world football's governing body just four days after beating off competition from Prince Ali to be elected for a fifth term in office.
However, the 79-year-old will remain in charge until a successor is found, which could be as late as March 2016, leading Collins to call for an interim president to be installed instead.
"It's excellent news for world football that Sepp Blatter is going," he told Sky Sports News.
"I would like him to go sooner though. I think he should step down immediately. Maybe there could be an interim president and an independent board that could lead FIFA through the process of reform it has to go through."
Prince Ali and David Ginola have already announced that they will stand for the presidency when the election does take place.