What Are The Factors To Consider When Deciding On Legal Action?

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It always is easier to just to pull the firm’s delinquent customers to court when they cannot pay up. However, before doing so, it is strongly suggested that the firm should ponder upon the below factors before pursuing such actions otherwise this might ultimately lead to losing both time [...]

Significant Warning Signs That Your Customers Cannot Pay

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As a credit controller, one needs to be extra vigilant to detect any signs or symptoms that the customers are slowly turning into delinquent debtors which might need to bad debts. 

Append below are some important warning signs or symptoms that we should watch out: 

Customer starts paying more slowly

Payment of [...]

Name Some Delaying Tactics That Delinquent Debtors Use

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It is important for a credit controller to understand what are the delaying tricks or tactics that the customers can use not to pay the account. 

Append below are some of the delaying tactics or tricks commonly deploy by delinquent debtors:

Cheques submitted but short of one other signatory
Discrepancy in figures [...]

What Are The Features Of A Good Final Warning Letter. Draft A Sample Final Warning Letter.

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Features of a Good, Effective Final Warning letter

 Should not contain empty threats, if you do not mean it, do not say it,

  • Despite the purpose, it should be polite but firm. Do not be abusive
  • It should state exactly what will happen if payment is not made by the stated date. There should be no ambiquity
  1. It should be short and to the point
  2. It is often a good idea to address the letter to the company secretary or some such person, with a copy going to the original contact. This increases the impact of the letter
  3. It is a good idea to send the letter by recorded delivery. 

 

SAMPLE OF  THE FINAL WARNING LETTER/REMINDER Continue reading What Are The Features Of A Good Final Warning Letter. Draft A Sample Final Warning Letter.

What are the features of a Good Standard Letter or Reminder. Draft A Sample Of This First Standard Letter Or Reminder.

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Many of us tend to have the mistake of getting their  first letter of reminder to the deliquent debtors very stereotype re: do not have named person, paper quality is extremely bad, standard signature chop,etc

We must always remember that any reminder letter must serve a purpose hence we need to understand what should be the good features of the first standard reminder letter.

Append below are some of the good salient features: 

  • It should be individually signed if possible, even if they have been produced en masse.
  • Letters should be short.
  • An effort should be made to personalize each letter and disguise the fact that is mass produced
  • The tone should always be polite but firm. Never apologize for asking an overdue payment
  • Customers should be given opportunity to raise queries
  • Letter should look impressive. Should be well-printed on good-quality paper.
  • If possible, letter should be addressed to a named person
  • Letter should not include phrases such as “ Please ignore this letter if payment has been made recently”. It is unnecessary and looks weak
  • The database must be kept up-to-date. Customers will be infuriated if the same mistakes are repeated time after time.
  • Wherever possible, write to a

  

Sample of FIRST STANDARD LETTER/REMINDER Continue reading What are the features of a Good Standard Letter or Reminder. Draft A Sample Of This First Standard Letter Or Reminder.

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