What you should know about collecting Accounts Receivable Collecting Is As Easy As The Information Members Provide The Collection Department at NACM is working hard to collect your money. We often deal with claims that could be collected if we had just one more document or piece of information. You likely already have the information in your file. It’s generally the information you collect when you open the account and obtain as you continue the relationship. As you are opening new accounts for your customers, updating records or approving new orders, please keep in mind the following: When you need to place an account for collection you want to have the following information on file: Credit application Invoices Statement Payment history Collection Notes History with Debtor And When Applicable: Contract or Promissory Note Liens Placed Personal Guarantees, where applicable It is helpful to make copies of checks from your customers. This will assist later with bank and debtor information. Review your company’s credit application/agreement form. Does it have the following information: Bank information (including account numbers) Legal entity of company Officers, partners, owners’ names, addresses, phone numbers Separate signature line for personal guarantee with authorization to pull credit reports. Line for social security number of personal guarantor/owner Statement in your “Terms & Conditions” allowing for costs of collection, interest with stated rate, and attorneys’ fees When a company changes names, ownership, address, etc., your company is notified in writing. If you need assistance in updating your form, please give us a call. After placing an account for collection: If a debtor should contact your office, please direct them back to our office. Collections are often delayed or reduced when the creditor resumes negotiations with the debtor. Do not mail out further invoices. Your invoices likely will not reflect the additional costs and attorneys’ fees that may be assessed, and will confuse the debtor. This may result in collecting a lesser amount for you. If a payment is received in your office on an account placed for collection with NACM, please contact our office immediately. It is very important that our records are accurate to insure that you and the debtor are treated fairly. Just one other note, “the early bird gets the worm.” Often we receive several claims on the same debtor. Usually the claims that are paid are the first to arrive in our office. Remember... we are here to assist your company in all of your collection efforts, and we do not get paid unless you get paid! Please do not hesitate to call us with any questions or concerns.