How to Deal with Customer Push Back

What do you do when a customer who owes you money won’t pay?

Not all customers will comply immediately, and some may dispute the debt or outright refuse to pay. Here are strategies to handle pushback effectively:

• Stay Professional. Maintain a calm, professional, and empathetic tone to prevent further resistance.
• Listen Actively. Understanding the customer’s reasons for non-payment can help tailor an effective solution.
• Provide Documentation. Present invoices, contracts, and payment history to substantiate the claim.
• Offer Solutions. Propose alternative solutions such as payment plans to make it easier for the debtor to settle the amount owed.

Negotiation Tactics

When dealing with delinquent accounts, negotiation can be a powerful tool. Consider these tactics to maximize recovery:

• Offer Payment Plans. Breaking down the total amount into manageable installments can encourage payment.
• Propose Settlement Offers. If collecting the full debt seems unlikely, offering a reduced amount for immediate payment may be a viable solution.
• Set Firm Deadlines. Define clear deadlines for payment to create a sense of urgency and commitment.
• Leverage Incentives or Consequences. Offering discounts for prompt payment or warning of potential legal actions can motivate the debtor to act.

Read more in our latest article.

Take the Pressure Off with Commercial Debt Collection

When it’s time to call in a third-party collector, RSD has you covered. When you work with our commercial debt collection experts, you’ll get the money you’re owed within 90 days. To get started, call (248) 370-8160 or submit a contact form. If you’re ready to submit a claim, you can skip straight to our claim form.

Step-by-Step Guide to Debt Collection

Does the debt collection process feel daunting?

RSD is here to walk you through it!

The debt collection process typically follows a structured approach, progressing from friendly reminders to more formal actions:

• Initial Reminder. The process begins with a courteous reminder via phone, email, or letter shortly after a payment becomes overdue. The goal is to prompt the customer to pay without damaging the relationship.
• Follow-Up Communications. If the debtor does not respond, follow up with additional emails, calls, and letters, emphasizing the urgency of resolving the outstanding balance. At this stage, reinforcing the importance of payment deadlines can be effective.
• Final Notice. A more formal notification is sent, warning the debtor of potential consequences such as late fees, interest accrual, or escalation to external collection agencies.
• Formal Collections. If the debt remains unpaid, you may need to escalate the matter through legal demand letters, debt collection agencies, or litigation as a last resort.

Read more in our latest article.

Take the Pressure Off with Commercial Debt Collection

When it’s time to call in a third-party collector, RSD has you covered. When you work with our commercial debt collection experts, you’ll get the money you’re owed within 90 days. To get started, call (248) 370-8160 or submit a contact form. If you’re ready to submit a claim, you can skip straight to our claim form.