By Evelyne Kolker
Letter # 1- “Whoops”
The first letter is a nice and cordial reminder. It should suggest that the missed payment was not intentional and remind the customer to send in the payment. It’s important that all four letters are not sent with a large amount of time in between them.
Letter #2- “Uh-Oh”
This letter should express concern, assuming that the customer wants to but is unable to pay. You should provide payment options, such as a minimum amount to pay now, while the rest can be paid in the following month. You can also offer a small discount if the payment is received promptly, say within one week.
Letter #3- “Excuse Me”
The third letter articulates clearly what services or product was provided and insists in strong language on being paid. All four letters should include an invoice of the payment being asked for.
Letter #4- “Finale”
This final warning to the customer lays out the actions you plan to take since you were not paid for your service. You can report the lack of payment to a collections agency. Another option is to outsource this problem to specialized companies that will pay you and will contact the customers themselves.
Whatever approach you take, it’s important to have clear records of these missed payments and when the letters were sent in your online, automated billing system.