| Payment Incentives |
| Three Simple Steps |
| Before Claim |
| Late payment interest and compensation work best as a payment incentives to waive if the debt is paid before proceedings. Send a letter stating late payment penalties but offering to waive them for payment within 7 days. If that fails, your online claim immediately follows for judgment for the debt and late payment penalties. The Incentive to pay is powerful. The debtor's perception is you are giving him a fair chance of avoiding the penalty. If the debtor pays after issue you can still enter judgment online for late payment interest compensation and costs, but only if you wish to. |
| After Claim |
| If your customer does not pay after 7 days change the payment incentive. Keep your penalties but advise the customer by letter that a claim has been issued and that he can still protect his credit rating by paying before judgment is entered. |
| After Judgment |
| If you are stil not paid and enter judgment then, again, modify the payment incentive by explaining how a judgment paid within 28 days stays on the debtor's credit record for only a year. One paid after 28 days stays on for 6 years. |
| Note |
| Debtclaims.com builts these incentives into your letters and claims. |