There are times when financial or medical entities must deal with uncollected debts. There are as many reasons for unpaid accounts as there are customers or patients. Some may go through an unexpected hardship, some may have simply moved. In some cases the patient’s insurance fails to do the payment.
It is not something that businesses want to think about but it does happen and it’s better to be prepared than surprised.
An occasional unpaid invoice can be absorbed as a business operating expense. Companies usually don’t have the administrative staff or the extra person power to spend countless hours tracking down unpaid invoices. Depending on the number of outstanding accounts, it may make financial sense to hire a collection agency to collect the outstanding debts.
What first steps are to be taken in order to solve your unpaid accounts?
Our recommendation is simple. Never let delinquent accounts go unchased. A debtor may think you are not serious. And, it is now a known fact that people speak. You may become very popular among debtors!
After numerous reminders…
Not only your debtor has left his account unpaid, you must also face the fact that he moved to another country in Europe. And the fact is that you are not familiar with this country’s legislation. Furthermore, you now face communication problems.
Is this unpaid account to be considered a write off?
No. Before taking such a drastic decision, consider hiring a debt collection company. Ensure that this debt company has multicural and multilingual capabilites.
Unpaid accounts are our business no matter their location
This is where connections become key.
Over the years InterStation has built a network throughout Europe. As debtors travel more, our connections too have grown and spread to reach many parts of the world. Such linkages provide invaluable advantages to make recovery of unpaids accounts successful.
- Find and contact
- Explain and negotiate
- Mediate and conciliate
- Negotiate Conciliate
- Settle and close
The debt will be recovered at a minimum expense. When recovery turns out to be more problematic and it turns out that proceedings are still necessary then it is equally important to have an existing relationship with a lawyer in the country.
If a good number of your unpaid accounts can be recovered then your business will compete in with greater confidence and profitability.