With our experience in Debt Collection, we found that our clients were becoming increasingly frustrated with their outstanding debtors ignoring their contact, but paying up on the first letter from a Debt Collector – then having to pay sometimes hundreds of dollars to the agent for the privilege.
We have designed a series of targeted letters which you can now use. These letters have been worded to take advantage of specific linguistics which we found to get the best result in successful collections.
What does this mean?
You now have the power of a Debt Collection Agency at the click of a mouse.
- Fill out the Contact Information Form with details of your business and the debt
and the debtors details
- Pay the one-off fee
- Submit
- After this, we process the letter within 24 hours and the letter will arrive anywhere
Country-wide within 72 hours via Registered Mail. Using Registered Mail ensures
the debtor receives the letter and cannot claim that they did not receive it.
- The debtor will be instructed to either contact you to arrange payment or to pay
the funds directly to your account.
(** We now also have a self-service option available for you to print and post your own letters)
The Benefits:
-
Helps your cash flow
- No need to buy separate accounts receivable software
Why buy another software package that you may never fully utilise. Use Final Demand to fully complete your credit management processes.
- Unlimited debt collection support
Receive expert advice when you become a client and utilise our vast knowledge to help you collect your debts more efficiently.
- Reduced Commission Fees
If you need to refer a debt to us for collection after you have tried our letters, we will collect for a reduced commission fee of 14% Plus GST – (our normal fee is 20%).
Which letter is best for you?
The key to effective Debt Recovery is using the right tools at the right time and communicating in the right way
to get the best possible result.
Many business owners fear that sending a letter from a collection agency may offend their clients and they will
lose future work – or may drive the client further underground and lose all chances of being paid.
There are 3 key questions you need to ask yourself here:
• Will sending a letter increase my chances of being paid?
• Are they a client I really want on my books if I continually struggle to be paid by them?
• Which letter is the most appropriate to send?
Once you have decided to send a letter to your debtor, there are some specific letters for you to choose
from:
Our Letters
First Request:
The First Request letter is a firm, but friendly reminder that the account may have been overlooked and that you would appreciate payment as soon as possible to bring the account back into order. It is written to be non-threatening, but is firm and appears on our collections letterhead. It comes from Bridgewater Mercantile Collections, but requests that all contact be made with you.
Restricted Account:
The Restricted Account letter is a progressively more firm reminder that the account is now overdue and all credit for services or supplies has now been restricted – any further services or supplies will be on a cash-only basis until the account is brought into line. If the debtor does not make contact with you within 7 days, further action may be taken by your collections agency, Bridgewater Mercantile. – Again, all contact is requested to be made with you by the debtor.
Final Demand:
Final Demand is your final request for payment prior to referring your account to your collections agency for formal collection. This gives your debtor one final opportunity to bring their account up to date before you refer them and any associated costs to Bridgewater Mercantile. Payment is requested within 7 days or further action will be taken. All contact and payments are requested to be forwarded to you.
Intention to Sue:
The Intention to Sue notifies the debtor that you have now exhausted all avenues to bring their account up to date and the matter will now be referred to your legal team via Bridgewater Mercantile for progression to the legal process. They are given one final opportunity of 7 days to bring this account up to date or to contact you to make arrangements for payment. Once this period has expired, the next contact with them will be from your legal representative – all costs associated with any legal proceedings will be added to the current debtors account. All contact and payments are requested to be forwarded to you.
** If you do send the Intention to Sue, you should be prepared to go to the next step if required. Obviously, this is not a preferred option for anyone, however if you send this letter and your debtor does not pay, you will need to show that you are prepared to pursue the matter through legal channels. Using a solicitor for debt collection will incur further costs, which you would initially be responsible for, however you may be able to pursue the debtor for reimbursement of these costs if you are successful in the courts. We will notify you of all legal costs prior to engaging our solicitors so you can make a fully informed decision about taking the step into legal proceedings.