phonecollectiontechniques

Telephone Collection Techniques

Results can be produced if you call your debtors on the phone. You must plan your calls carefully to get results.

Before calling, be prepared

What information do you need to make a decision?

What is the customer’s problem in paying (if any?)

Can/Will the goods be returned/ retrieved.

Is payment by instalments an option?

Be persistent and reliable- never make promises (or threats) that you won’t or can not keep, and always follow up.

Prepare yourself thoroughly before making the phone call. Have the invoice, delivery docket details and the customer’s order number on hand along with proof of delivery (if available) and a listing of questions.

Don’t waste time with junior staff – speak to the decision-maker. If the person you want is not available, find out when they will be there and phone back. Never leave a message requesting them to phone back.

When to call

Don’t call in the lunch hours (12.00 – 2.00pm)

Friday afternoons are a dead loss

Don’t phone too early – people hate ‘heavy’ calls before they have settled in to their daily routine.

Make your last call by 4.00pm

I have found the best time for collecting money is Monday or Tuesday, between 9.30am and 11.30am.

What to say

Start your call with a neutral, friendly "Hello, my name is xxx xxxxxx from xxxxxx. According to our records, we have not received payment for our invoice number xxxxxx for $xxxx, even though it was due last Month."

Then stop speaking. Employ this powerful tool – the strategic pause, to shift the burden of conversation to your client, allowing the opportunity to volunteer an explanation. If there is no response after a few seconds, continue with a question such as "When may we expect your cheque?".

Write down the date of the call, important points covered, the name of the person you spoke to, and any action agreed to. Always repeat any promises made by them , back to them.

Late payment excuses – How to handle them

Excuse: "The cheque is in the mail"

Response: "Wonderful. Would you mind telling me exactly when it was posted, the cheque number and the amount?"

Excuse: "I’ll check your information and get back to you"

Response: "I am happy to hold, if you could obtain it for me now"

Excuse: "No, that’s not possible"

Response: "When will it be available? I’ll phone back then"

Excuse: " No!"

Response: "Could I call back at say 11.30am tomorrow?"

Excuse: "I don’t appear to have your Invoice"

Response: "I’ll fax it through to you straight away and call you back in 15 minutes"

Excuse: "We are experiencing cash flow problems at the moment"

Response: "We all know what that is like. I would be happy to call around and collect a cheque – When would that be convenient"

Excuse: "The person who signs the cheques is not available"

Response: "Could they be reached on a mobile, or could I take the cheque to them to sign"

Excuse: "The person why signs the cheques is Ill/at home/on holidays"

Response: "I really would like to receive payment. Supposing I pay for the cheque to be couriered to them so that they can sign it"

Excuse: "We are changing computers at the moment. Everything is a mess."

Response: "Would it be possible to revert to a manual system for this one cheque? I’m really anxious to receive it. If you could have it drawn and signed I will be happy to have it collected later today."

Excuse: "The accounts have all our books at the moment"

Response: "If you could give me the number I will be happy to ring them and organise to collect a cheque for signing."