Our primary job is to collect the money as close to the terms and conditions of the obligation, as soon as possible, so to take the exact first crucial step in collection. Before undertaking any actions such us to actually approach the debtor via writing, calling or visiting, we make sure we have all the critical information to complete our actions.
These documentations should include purchase orders, contract numbers, invoice details, credit memo details, misapplied checks, related correspondence, previously disputed open items, billing or merchandise disputes, unresolved unused credits for returns or adjustments, any verbal “special terms” statements, proofs of delivery and copies of any billing or shipping instructions. After we obtain the required data, the first step in the collection procedure must be taken.
We ensure that terms are clearly stated so the customer knows exactly when and how much to pay, where to deliver the check or cash, or electronically transfer the funds.
We make phone calls, monitor and hold orders. Telephoning is fast, it gives us the opportunity to listen what our customer has to say, straightforwardly while having access to the information we need.
There are different product lines with different selling terms constantly forming, related to diverse type of customers. If the customer has alternate sources of supply; corporations can easily lose their leverage, so our applies are always tailored accordingly to hit the targets. As with a credit policy, collection practices must be flexible whether a company has a promotion requiring customer cooperation, or needs cash more than new sales.
We make sure we are aware of what is constantly happening in the economy, in the industry, in the competition, with the customers, in the overall marketing objectives and the financial requirements of the company that needs to collect the dept.
Our attention is caught by the exceptions, those who do not exhibit the expected pattern of behavior depending on the amount owed–a company can afford to devote more time and effort to the collection of large balances than it can to smaller ones. Consequently, making defaulting debtors to pay up could be a demanding undertaking. If the money is not received at the promised time, a follow-up is essential, while we send final demand letters with our dedicated, steadfast messengers.
We offer commitment and firm stance. Even though the customer may be experiencing some difficulty in meeting payments, because of a temporary shortage of funds; does not stop them from becoming a good customer in the future. Our ability to continue to support the customer and at what volume level, is based on the gross margin return that a company earns on the sale.
We preserve goodwill. We approximately follow principles such as to firmly demand for repayments, we are always kind to the debtors, accepting and seeking creative repayment options and methods, avoid nasty default scenarios, composing demand letters, avoid pestering debtors, contravene debt collection rules.
