Collecting Debt

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How to create a persuasive message in collecting debt.


<ul><li> 1. Collection messages Nelly R. EmersonBusiness Communications</li></ul> <p> 2. Collecting money for the products or services that you sell is critical to the successful operation of a business. 3. How to create a collection messages? 4. Two goals of collection policy:To collect the money that is owed.To preserve goodwill with the customer. 5. Collection policies Apply to spokenand written message. The policies must reflect state regulations and the criteria established by the Fair Debt Collection Practices Act of 1978. 6. Initial invoicethat accompanies goods and services should clearly state When payment isWhere to mailWhat is owed the check expected 7. Example of an Initial InvoiceUsually the duedate is 30 days from the invoiceWhere to date.mail the checkPaymentInstructionsWhat is owed 8. When a debt has notbeen paid by the duedate, systematic follow-up is necessary.Collection messages are an integral part of companyscollection process, and they should:o Follow federal and state collection regulationso Be sent at regular intervalso Use an appropriate organizational pattern and message strategyfor each collection stage. 9. Three stages of Collection messagesInitial-Stage A routine reminder written in the direct pattern. Middle-StageIt is a persuasive message. Final-stage It is an ultimatum and is prepared in the direct pattern of organization. 10. Initial- StageAssume that receiver intends to pay.Send a reminder immediately after the payment deadline.Send one or two friendly reminders.Call the customer to determine the problem. 11. Middle-StageOpen with a positive or neutral statement.Explain objectively without accusation.Point out the benefits of complying.Make courteous request for action. 12. Final-StageOpen with your course of action.Restate the details of the money owed and the collection attempts made.Close with an assertive request for payment. 13. Thank You!Reference:Brantley &amp; Miller. Effective Communication for Colleges 11thedition.</p>