Even in a good economy, some people are just late paying their bills. While it can aggravating for a merchant, being angry with the customer does not help matters. In this article, you will learn about the ways to help recover payment, as well as ways your merchant account processor can help you get the money you are owed.
Your first step in collecting an unpaid bill should be to send a statement or a collection letter requesting payment of the invoice. If letters do not work, it is time to get personal. It is a lot harder to withhold payment from someone you know than from a stranger. For this reason, you should not rely solely on successive collection letters. Instead, telephone the client. If you are dealing with a large company, you may have to first contact someone in the accounts payable or purchasing department. However, if that person is not helpful, do not hesitate to call higher-ups, including the president of the company. Explain that cash flow is important to your business and that you cannot afford to carry this unpaid receivable any longer. If phone calls do not work, make an appointment to visit whoever is in charge of paying you. However, do not get angry or threatened, as this can get you into loads of legal trouble.
If these methods do not work, consult your merchant account provider. They are likely to know of a merchant account collection agency in your area, or perhaps they represent one. If you are an account holder with eMerchantBroker, you know that they take on the accounts of collection agencies, and they are sure to have a few companies in mind to help you out. While seeking out a collection agency that specializes in merchant accounts can seem like a harsh step, remember that it is your hard-earned money at stake.
It can be annoying when a customer does not pay their bills on time, but with a little patience, it can be handled with ease. The most important thing to remember is to stay calm, as having an outburst can get you into legal trouble. When your attempts fail, remember to consult your merchant account provider, as they are most likely familiar with merchant account collection agencies.