Debtors Email Process

Welcome to the MyCash Dashboard Whitepaper on the Debtors Email Process

This whitepaper document outlines a structured approach for managing payments (due or overdue) through a series of four escalating emails. Key elements include using a dedicated email address, crafting effective subject lines, and maintaining a consistent, professional tone throughout the process.

The strategy emphasises timely communication, clear information provision, and gradual escalation of urgency over a 2-3 week period. Best practices highlighted include maintaining consistency in communication, providing clear invoice details, documenting all interactions, and remaining flexible for payment arrangements.

The process begins with a courteous reminder and progresses to more urgent requests, culminating in a final notice before potential debt collection action. This systematic approach aims to balance professionalism with assertiveness, encouraging prompt payment while preserving client relationships.               

MyCash Dashboard’ Accredited Consultants can help. They are experts at helping organisations improve cash management.

IMPORTANT NOTES

1. If practical, send these emails from a dedicated email address: debtors@[your-domain].[.com, .org etc]
   Reasons:
   • Maintains a centralised repository of all correspondence.
   • The generic sender name attracts different attention than individual names.
   • Allows for consistency when staff changes occur.
2. Subject lines are critical:
   • They serve as prompts (emails 1 & 2) and attention grabbers (emails 3 & 4).
3. Timing is crucial:
   • Complete emails 1 through 4 over a 2-3 week period.
4. The first email does not state the debt is overdue. It pre-empts the agreed terms and notifies the debtor of expected payment. Slight variations in wording are acceptable to suit specific circumstances.

REMEMBER BEST PRACTICES

FIRST EMAIL

Subject:  Courtesy Note re upcoming payment (invoice attached)

Hi [insert first name],

This is a courtesy note to advise that your invoice for work completed by [Your Company Name] will be due on [Due Date].

Invoice: xxxxx
Amount: $xx,xxx.xx

We appreciate the opportunity to have provided services to you and timely payments help us continue providing excellent service to our customers. This is a courtesy note only and not a request for immediate payment, however, if you have any comments or concerns, please let us know so we can work through any concerns together before the due date.

We are here to ensure you continue to enjoy our excellent service.

Thanks in advance.

[insert real persons first name]

debtors@……..com.au

FIRST EMAIL ATERNATE  Where a phone call has already been made as the first step for an overdue payment.

Hi [insert first name],

As discussed on the phone, here is a copy of your overdue invoice for [Your Company Name]. We have scheduled payment in our cash flow to receive on [Expected Date]. We appreciate the opportunity to have provided services to you and timely payments help us continue providing excellent service to our customers. If you have any comments or concerns, please let us know so we can work through any concerns together.

Invoice: xxxxxx
Amount: $x,xxx.xx

Name of Account: [insert company name]:
BSB: [insert BSB
Account Number: [insert Account Number]:

Please contact me via email or phone if there are any queries.

Thanks in advance.

[insert your full name]

Actual email address of person – not debtors@…
(although the latter can still be used)

SECOND EMAIL

Subject: Quick follow up to our email the other day

Hi [insert first name],

This is a friendly follow-up requesting payment of the amount due as per our agreement. We’re sending this email because we haven’t recorded any payment yet. We understand delays can happen. Timely payment of accounts enables us to continue providing excellent service to our clients.

May we please request payment by return?

Invoice: xxxxx
Amount: $x,xxx.xx

If you’d like to discuss any aspect of the outstanding amount, please contact me via the email address below.

Thanks in advance.

[Your first name]

debtors@……..com.au

THIRD EMAIL

Subject: Concerned we haven’t heard from you

Hi [insert first name],

I’ve made two requests for payment of invoices in the past week and haven’t heard back. We assume you’re very busy or there might be a problem. We understand delays can happen.

Either way, we really need to hear from you.

As mentioned before, timely payment of accounts enables us to continue providing excellent service to our clients and is good business practice.

May we please request payment by return? Our bank details are:

Name of Account: [Your Company Name]

BSB: [Your BSB]

Account Number: [Your Account Number]

If you’d like to discuss any aspect of the outstanding amount, please contact me via the email address below.

Thanks in advance.

[Your first name]

debtors@……..com.au

FOURTH EMAIL

Subject: Please contact us urgently

Hi [insert first name],

I have [choose one: {spoken with you on the phone} or {left a message}] and sent two emails requesting payment of your overdue invoices in the past weeks and have had no response from you.

We’d like to assume you’re very busy or there’s a problem. However, when we don’t hear back, we must consider that there might be a more significant issue.

We require either payment or a reason for the delay in payment.

If we don’t receive payment or hear from you within 7 days, the debt will automatically be sent to our debt collection agency, which may involve additional fees and a legal process.

Let’s avoid that – please contact us urgently. Your overdue invoice has been attached with our bank details included.

Thanks in advance.

[insert real persons first name]

debtors@……..com.au