It can be tough for a Fayetteville business to keep its doors open if its clients and customers fail to make timely payments on the services the business offers. When individuals do not pay their bills, businesses can struggle to pay their own financial obligations and continue operations. When a business seeks to enforce payment of outstanding debts, it begins the collections process.
Collections can be hard for businesses to handle on their own, and in some cases, they can benefit from working with attorneys who manage collections’ cases and claims. This informational post offers insights into the collections process for readers, but no legal advice is conveyed. All specific questions about collections should be directed to trusted business collections’ lawyers.
Ways to communicate with indebted customers
Getting paid can be delicate when a business is unsure of how to communicate with an indebted customer. It may be tempting to call and push the customer until they make good on their obligation. Businesses should know, though, that they may be governed by consumer protection laws like the Fair Debt Collection Practices Act.
Communications about collections cannot harass indebted individuals. They should be clear and focused. Businesses can call their debt-holding customers, but can also send demand letters to them that communicate their obligation and payment terms.
When a business does not know how to begin communicating with customers who are behind on payments, they can seek professional legal help.
When communications do not work
Letters and phone calls that do not violate the Fair Debt Collection Practices Act may not accomplish all of a business’s collections goals. They may still be owed money and may still need that money to continue operations. Litigation may be necessary for a business to fully collect on money it is due from an indebted party.
Collections can become headaches for North Carolina businesses. Getting paid quickly and completely is important and not always possible to achieve on one’s own. Legal help can be useful to entities that need to begin collections efforts against non-payers.