Time is money, and its time to collect bad debts

New Zealand Blacklist Debt Collection Solutions www.nzblacklist.co.nz

Every business should be able to initiate payment themselves without the need for 3rd party collection agencies. A brief guide on how to collect debts yourself may help.

REVIEW: Review the documentation on the debts before calling the debtors. Know the history of the debt, account details, credit record, and any promises kept or broken by the debtor. Have all records or documents in front of you, ready for reference.

APPROACH: Adopt a straight, professional business-like approach. You should have Terms of Trade or have a contract, you have delivered the goods and possibly have a signed proof delivery receipt, your money is owed, and you have a right to expect payment. Don´t yell or raise your voice when speaking with the debtor. Don´t threaten them in any way; Using debt collectors or legal action is your recourse.

CONTACT: Make sure you´re talking to the correct person. Don´t let the debtor brush you off with "You´ll have to talk to the accountant." Identify the person who will pay your bill. If you can´t get through after several calls, tell the receptionist that you know your calls are being screened and that this is not acceptable. Indicate the purpose of your call and if necessary give deadlines for paying the outstanding invoice.

CONTROL: Drive the conversation. Focus only on the debt and on the repayment schedule. Don´t let the debtor sidetrack you with excuses, etc. Remember, the object of your call is to collect money, or get a commitment.

FLEXIBITY: The current economic environment is difficult. Be ready to adjust to the situation. Think about the kind of client you´re dealing with and adapt to meet the circumstances. Be prepared to accept a reasonable payment schedule. Work out what you want or what would be an acceptable payment schedule before you call. Do not go into negotiations without knowing what your willing to concede beforehand. NOTES: Keep detailed, accurate notes of every contact with the customer. Probe for further information on the customer. Notes of these contacts will help you in subsequent phone calls, and may be invaluable in litigation. Good notes will also help in further credit decisions, or in cases where skip tracing may be needed.

CONFIRMATION: Never let the debtor put you off with such terms as "We´ll talk next week," or "I´ll send what I can." Every contact should result in a commitment to payment, of a specific amount, by a specific date.

TIME: The longer an account is held, the less likely it is that it will be recovered. If payment or a payout is not arranged within 90 days, place the debt with New Zealand Blacklist.

Just as every company is specialist in their field, finding a specialist debt collection agency that fits your needs will expedite your debt being paid off. NZ Blacklist has been helping companies and individuals find the right agency to collect debt and we are confident that we can help you.

Our online systems support users to efficiently pursue delinquent accounts or bad debts anywhere in New Zealand.

List your debts for free on NZ Blacklist and take charge of your financial future

New Zealand Blacklist
www.nzblacklist.com www.nzblacklist.co.nz
Bad Debts are Bad Business