Basic Debtor Rules

The control of credit you offer to your customers WILL IMPROVE YOUR CASH FLOW.

We have put together a few helpful steps and rules to assist you in controlling your credit activity.

• ALWAYS search ACCI before you deliver to a new customer. Ensure you obtain "VALUE CUSTOMERS" by getting a credit information check.
  
  
• ALWAYS get a signed Credit Application from your customers if you are offering any form of credit to them. (That's all customers except COD)
  
  
• Always offer the most suitable credit terms for you. Not all customers require long payment terms so offer what you think you can afford and what you think that customer is worth.
  
  
• Ensure you advise your customers exactly what their payment terms are. Make sure they understand them and check to ensure they stick to it.
  
  
• NEVER be afraid to ask for payment. Always be courteous and inoffensive but direct. Set up regular payment options such as; develop a collection run, offer credit card, EFT or direct debit facilities.
  
  
• If a customer continually goes over your terms and shows no sign of trying to get back into terms, LIST THEM ON ACCI. This will place pressure on the customer to pay in order to clear their name off ACCI.
  
  
• Search ACCI regularly to obtain information about your current, past and future customers.
  
  
• Your "WATCH LIST" on ACCI will help you track those problem customers that seem to be at risk of not paying. You can list 20 of your customers for non stop checking by ACCI. As soon as any ACCI member lists any of your "WATCH LIST" customers you will be immediately notified via email. This will allow you to take action by stopping supply and demanding your money. You can even list yourself on the watch list. If you are listed on ACCI you will be notified and can take appropriate action to clear your name.
  
  
• Search the ACCI database for those old bad debt accounts that you can no longer find. You can search by owners name, ABN/ACN numbers, address, phone numbers and more.
  
  
• List your old bad debt accounts onto the ACCI database. Once a retailer is listed on ACCI, ALL ACCI members will see they are a credit risk and may decide not to supply them. The retailer will not want to risk loosing their business thru lack of suppliers. This can cause the retailer to pay old accounts in order to carry on their business.
  
  
• If after all efforts you are still unable to get payment you should consider outside help from a debt recovery specialist. For a very small fee they can put varying degrees of legal pressure for payments on bad debt customers.
  
  

Telephone Collection Tips

Apply these tips and get better results from your telephone collections.

1. Get or confirm the name of the person in charge of paying invoices.
   
   
2. Obtain the best time to reach that person.
   
   
3. If you have to leave a message ask for the persons name taking the message. Leave your full name, Entity name and phone number and request for call back. Ask the person taking your call to repeat the information back to you.
   
   
4. Ask the person taking the message when the responsible person can be reached.
   
   
5. Do not make any demands for payment if the person you are taking to is not the decision maker. If asked the purpose of your call, state it is in reference to an "open invoice".
   
   
6. Create a sense of urgency
   
   
7. Always be courteous and polite but direct.