non payers

[Gazza]

how do you deal with non payers

people who sign up for monthly hosting and then stop paying.

or the ones that promise to pay next month but next month never comes.

 

how do you deal with money owed to you and what steps do you take to get clients to

pay there arrears

 

thank you

[vec]

you warn them, then suspend the account, then delete them... all there is to it

[mlew2]

Cancel their account if it is more then once and cut your losses

[And then there was one les]

IT all depends upon what you want to do really, Cancelling their account in my view is not the answer, Obviously there are late paying clients these are par for the course but there are practices that you can put in place to reduce the number of these.

 

28 days before: [Generate Invoice] This will send the notice to the client also.

 

21 days before: [send the first reminder] Keep this plain and to the point, Make sure your client knows the Due date of the invoice make this very prominent in the email also tell them how many days they have left (21 days). You can also let them know that by making the payment sooner rather than later they can cut down on the number of reminder emails they will get.

 

14 days before: [send second reminder] The same as the first but also add in that the final reminder will not be until 3 days before the dues date.

 

 

3 days before: [send third/final reminder] You will want this to be more urgent in appearance, Not nasty but certainly to encourage more prompt action, Let the client know there are only three days remaining and that late fees will apply if the invoice is not paid on time. For example after the due date. Remember at all times to keep this email informative and professional this isn't a randsom note.

 

1 day after: [first over due notice] Notify the client of the late charge that has been applied, Outline the restrictions (if any) that will be enforced and at what time frame you will apply them. Here you are creating a further sense of urgency, you can also on this email offer the client a waive of the administration charge if they make payment before your restrictions go into place. This will create a sense of urgency, but also a sense of you being more lenient toward the client.

 

7 days after: [second over due notice] This one can be sent the day before restriction (if any), this gives the client 24 hours notice.

 

15 days after: [final over due notice] This one should be sent the day before termination. Again, giving the client 24 hours notice.

 

You can automate suspension and termination, although, i would look to only automate suspend/unsuspend and leave termination to an admin. There is no reason you couldn't automate the whole system but you must let your clients know there is no admin input in the process so they know if they don't pay on time, it will go ahead on the schedule set out and they risk losing their data.

 

I hope this helps you out.

Edited May 18, 2013 by CDJ Hosting