Debt Collection Tips: Do your customers know your payment terms?

The best way to manage accounts receivables is to prevent them in the first place. So the best way to do that is to set payment terms and make sure your clients or customers are aware of what they are.

It’s easy to assume your customers know your payment terms. After all, the information should be printed clearly on the bottom of every invoice. It should have the amount of days to pay and penalties terms for late payment clearly printed on each invoice and also on any contract you make them sign.

If you need a free template, you can get them here: https://www.debtrecoveries.com.au/credit-control-free-template-pack/

Make sure your customers know all the penalties for late payment, which can include your debt collection agency fees and/or legal fees incurred in the recovery process. Don’t let your bad payers cost you money. Add these penalties on all contracts and invoices, then your outsourced debt recovery won’t cost you anything.

But do your customers really really really know what your payment terms are?

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