Gathering Physical Evidence of Default

When you make your first telephone collection call to your debtor, you need to prepare for it.

Getting the physical evidence of default together is simple - or at least it ought to be!

It's important to gather together all the facts, review the history of the account, and make accurate notes before making your call.

You need to know exactly how much is owed, for what, and for how long, and be able to quote invoice numbers and delivery dates without having to riffle through a file of papers to find what you're looking for. If you have facts and figures at your finger ends you will sound more credible and more professional - which is a great start to making a good impression.

You also need to find out whether the debtor is in the habit of paying late - and whether precedents for late payment been set by previous arrangement, or simply by default. Once you have that historical record, you can decide how you are going to approach your debtor, what you are going to say, and how you are going to say it. You should make notes about that, too. There's nothing wrong with giving chapter and verse of default, or making it plain that arrangements made in respect of past contracts to do not apply to present contracts - but remember: it's not what you say, it's the way that you say it.