Convincing the man on the street to hand over money (without breaking the law) doesn’t appear to be too difficult, as the constant presence of panhandlers proves. On the other hand, convincing a delinquent account holder to pay his bill can seem an impossible task for the inexperienced.
Of course, stakes are a lot higher when attempting to collect a commercial account. But there are methods of persuasion that can prove quite effective. Consider these four ways to shake that money tree:
Aim for a face-saving approach. Maintaining a person’s dignity is of the utmost importance, not only because it’s the ethical thing to do, but also because a debtor who feels humiliated may pull back and seek to end the discussion. This makes it difficult to gain information from the client that may prove valuable in resolving the outstanding balance.
Have an organized approach to contacting past-due payers. Use at least two methods to make contact with a late pay. The telephone and postal mail are common methods used to collect a past-due account. But don’t discount other methods such as an in-person visits.
Keep your voice at an even pitch. Resist the urge to speak loudly. Sometimes, simply lowering your voice a bit can calm an irate person. That can provide an opening to build rapport and ratchet down an escalating confrontation.
Maintain a personal safety zone. Being in arrears can stress a debtor and emotional distress can trigger unpleasant responses. Be alert to any potential outburst that may put you in danger of harm. Tempers can run hot, particularly if a debtor owes past-due sums to multiple merchants. Always leave the person a graceful exit.