At times, requesting invoice payments is not an easy task if the debtors are reluctant to pay or have no ability to pay the liabilities. Even though you have the best customers in your business, it is important to keep in mind that your business could close at any moment if you pity them. As a result, this writing will explain some of the easy and affordable debt recovery systems that could put you back in control of your business.
The first thing that you need to do is to call and send a mail to your customers to tell them about their late invoice payments. It could be that your customer used an incorrect bank account in paying the mortgage or they could be dealing with other issues which made them forget about your debt.If this is the case with your debtor, ensure that you give them the correct bank details and payment options as well as your business phone number. Once you do this, your client will not have excuses for not paying the debt as they will have the necessary payment details they need to settle the debt.
Conversely, if you do not receive any response from the defaulter, it is essential to remind them again about the debt via the phone or email.Nonetheless, if the above debt processes fail, you ought to give them a final extension period to resettle the debt.Here, you can try to make direct contact with them by visiting them to inquire about the payments. At times, this debt collection procedure can assist in strengthening your business relationship with your customer.
If all the above debt recovery processes do not do the job; make sure you send them a formal demand letter. Nevertheless, this debt recovery letter should be the recourse you take against your debtors can destroy your business rapport with them.
Again, if the demand letter does not do the job, then your next bet would be to involve a debt recovery solicitor. A liability collection attorney will try to retrieve your money by filing a claim against the debtor in court. At this point, you will have to wait until the judge passes judgment. If you win the case, your debtor will have to pay you back the legal proceedings fees you incurred as well as settling the invoice payments you owe him.
Finally, it is important to know that the debt collection methods differ from one country to another. For that reason, make sure you have a debt attorney who will assist you in demanding invoice payments as he or she can make your work easier. This will not only ensure that you have recovered your money, but that will help you know how the debt recovery process works.