28 May When to Hire a Brisbane Debt Collector
It is straightforward to deal with your customers by providing goods and services on a cash basis. However, problems start to emerge when you start providing goods to your customers on credit and you may find yourself needing a Brisbane debt collector. Most of the customers will pay at the beginning, but the debts might accumulate to a certain level such that the customer fails to pay. This is one of the most challenging aspects because business owners have to find ways to compel customers to pay.
Initially, you have to make sure that you try to collect the debts without involving a third party so that you can protect the relationship between you and your customers. Here are some of the strategies that you can use to recover your money without involving a third party.
One of the simplest methods of collecting your debts without involving a third party is by calling your customers and reminding them that they still owe you some money. Calling once a week keeps the customer aware that he owes you money, and you need that money so that you can continue offering services to other customers. You can send emails and letters as well to remind your customer that he needs to clear debts with you.
Some people are ignorant of calls, emails, and letters. Therefore, you can move to the next stage where you decide to meet the customer by the person and remind them that you need your money so that you can continue to provide services to your customers. Moving to collect the debts by yourself shows seriousness, and the customer might pay the debts immediately. It’s one of the oldest Brisbane Debt Collector tricks.
Avoid Additional Credit
If you want to show your clients that you are more serious on the debts, you should prevent additional credit. This involves informing your clients that they will not access additional credit until they clear the outstanding balances. This is a strict measure that will be a blow to the clients because they will have to pay on cash so that they can access additional goods and services. It also shows that you are serious and you need your money.
However, collecting the debts in person and without involving a third party might not work. You might sense that you will not receive your receivables depending on the behaviors of your clients. It is at this time that you need to hire a debt collector. So, what are some of the indicators that you need to hire a debt collector?
Empty promises are some of the factors that should compel you to hire a Brisbane Debt Collector. The customer could be promising you to clear debts on a particular date without honouring their promises. You need to make sure that you have given your clients sufficient time to pay the debts. If they have promised to pay debts in three different instances without honouring their promises, you should move ahead and hire a debt collector.
Customer Avoids Payment
If the customer avoids paying the debts, you have no option other than to call a Brisbane Debt Collector. However, it could be difficult to determine when the customer avoids paying debts. Sometimes the customer might be willing to pay the debts, but he is not able. You have to distinguish between the two circumstances.
However, in a situation where the customer impliedly refuses to pay the debts by ignoring your calls, you should contact your debt collection agency. Unanswered calls, emails, and reminder letters present a clear argument that he is not willing to pay. Sometimes the customer may expressly indicate that he will not be paying the debt.
Most of the customers who owe businesses receivables tend to present checks only for the checks to bounce after depositing them in the banks. That is a clear indication that the customer is not willing to pay the debts. This is a very rude approach because the customer is giving you a check in full realization that the check will not work. If someone does that to your business, the next step should be to call a Brisbane debt collector to get your money. However, checks may bounce for various reasons, but the trend should not repeat itself more than twice.