Bad Debt

Bad Debt

Revenue Recovery Solutions is the debt collection agency for all your bad debt recovery needs.

Licensed to work in all 50 states, RRS combines a wide range of bad debt recovery services with a client-centered approach. The approach we use to recover bad debt depends on you. If you hope to have the past due account continue to be your customer, we will work the account accordingly. We will employ other collection methods if you no longer want to have a relationship with the account

RRS is a full service bad debt recovery agency that provides the “no risk” solution to your nationwide debt collection problems. We offer “no collection – no fee” collections.

Specializing in bad debt recovery, RRS offers nationwide debt collection, which can help you eliminate or at the very least, reduce your bad debt accounts.

We provide a number of different bad debt recovery services to our clients, including the ability to help in the collection of current debt as well as severely past due debt.

Tips on How to Reduce Bad Debt

Every business runs into issues with their accounts receivable. It doesn’t matter what type of business you run or how well your accounts receivable department runs, there will always be slow paying and nonpaying customers. It’s just part of the game. However there are several ways to reduce bad debt and accounts outstanding.

The first way to improve your accounts receivable management is to have a clear billing policy that everyone in the office follows. Employees should be properly trained and understand the billing process and all of the steps that need to be taken. Some points that should be included in the billing process include payment terms, when and how often statements go out, collection process and follow up procedure.

Another good billing practice is to send out statements regularly and invoice properly. One of the main reasons why a client’s account goes outstanding is because they never received a bill. It doesn’t matter whether you send out invoices weekly, bi-weekly or monthly just make sure the process is consistent. The payment terms should be outlined on the invoice or statement so that clients know exactly when payment is due. Additionally if you plan on charging any late fees or interest fees you should have that clearly stated on the invoice. If clients know they will be charged additional fees for late payments, they are more likely to make payments on time.

Another good billing practice is to send out statements regularly and invoice properly. One of the main reasons why a client’s account goes outstanding is because they never received a bill. It doesn’t matter whether you send out invoices weekly, bi-weekly or monthly just make sure the process is consistent. The payment terms should be outlined on the invoice or statement so that clients know exactly when payment is due. Additionally if you plan on charging any late fees or interest fees you should have that clearly stated on the invoice. If clients know they will be charged additional fees for late payments, they are more likely to make payments on time.

Another good billing practice is to send out statements regularly and invoice properly. One of the main reasons why a client’s account goes outstanding is because they never received a bill. It doesn’t matter whether you send out invoices weekly, bi-weekly or monthly just make sure the process is consistent. The payment terms should be outlined on the invoice or statement so that clients know exactly when payment is due. Additionally if you plan on charging any late fees or interest fees you should have that clearly stated on the invoice. If clients know they will be charged additional fees for late payments, they are more likely to make payments on time.

After mailing out a copy of the invoice to the customer, you may want to consider following up with an e-mail or fax and sending a digital copy of the invoice. This way you have covered all of your bases and if the client says they never received the bill you can prove you sent it by both mail and e-mail or fax.

Following up with the client after you have provided the service or produce is a key component to successful collections. This way if the client has any disputes on the account you can work with them to settle the account before the account goes past-due. If you know there are issues on the account you can more easily come to a resolution that both parties can agree on.

Along with sending out invoices properly, your accounts receivable department should keep accurate records of payments. If a customer claims to have made payment already or sent in a partial payment, you are going to want to keep track of this so that no duplicate payments are made and no accounts go without payment. Keeping track of all payments will help with any discrepancies.

When following up with clients and requesting payment keep a log of all contact made with the debtor. This will be useful if you hire a collection agency or take legal action. Handling accounts receivable can be frustrating. However, businesses that utilize these billing practices will minimize their past-due accounts and days outstanding.