Common Mistakes to Avoid While Collecting Debts from Customers

Common Mistakes to Avoid While Collecting Debts from Customers


If you are the owner of a business house, whatever the turnover may be, one common problem is not getting the payment on time. Default customers are sometimes extremely stubborn and they don’t pay heed to the multiple numbers of emails or calls, no matter what.

So, you have to adopt certain tricks in order to get the payments but there are a few common mistakes which are made by entrepreneurs in general. Take a look at the common ones.

  • Not taking enough preparation – The first and foremost mistake that you can commit is not taking enough preparation before contacting the customer. Keep in mind, the way you sound over any form of communication will give an impression of your knowledge and power. So, the custom
    er must understand your value and importance. Invoices to contracts, keep everything handy and sorted.


  • Don’t stop following up – Sometimes, business owners stop total follow-up because of other work and suddenly take actions after months. This should not be done and this can actually go against you when you present the whole case in the court of law. So, make sure the calls and emails are constant.
  • Don’t assume anything without any proof – This is a common mistake especially if you have a large scale business. Maybe, the customer has paid and you are not aware of the fact. False allegation is the last thing you should do, so make sure that your facts are absolutely correct. If you don’t, things can get as serious as suing your company for violating customer’s rights.
  • Don’t get into verbal abuse – There are plenty of customers who become abusive while discussing the contract. But you must make sure that you are calm and composed while talking to them. Let him or her know that they are the ones who are making the procedure complicated. That is why it is best to hire a debt collection agency.
  • Don’t take serious legal steps directly – Well, this is quite a dangerous step because you may not know the loopholes of the law and orders of your area and the legal steps that you will take against the customers can actually come onto you because of violation of rights and privacy. This can get extremely serious and can end up in major face loss of your business. Avoid this mistake so that your company does not get tied up in legal issues.
  • Don’t limit yourself to give options – If a customer is given options then he and she may pay. But sometimes many company owners don’t think of this issue. So, committing this mistake can be a blunder.
  • Don’t take the charge of interaction directly – There are many company owners who take charge of face to face interaction with the customers which can result in mutual harassment and complications. So, the best is to avoid this mistake and order a debt collection agency for doing all these for you. They know the exact procedures and techniques of collecting dues from the most stubborn customers. So, for business debt collection contact a reputed agency.

So, now you know all the probable mistakes when it comes to due collection and debt collection agencies.