Resources

A to Z List of Bad Debt Warning Signs

Accounts displaying any of the following ‘Bad Debt Warning Signs’ should be forwarded immediately to SCJ, Inc. for collection:

  1. Debtor payment already 90+ or 120+ days past due
  2. Changes in payment pattern from “on-time payer” to “late payer”
  3. Debtor breaking promises for payment
  4. Debtor ignoring demands for payment
  5. Debtor asks for re-negotiation of payment terms
  6. Debtor makes partial payments without your agreement
  7. Debtor skips payments
  8. Debtor pays with cheques with not sufficient funds (“NSF”)
  9. Debtor claims payment delay due to bank or government problem
  10. Debtor claims they do not have the money to pay
  11. Debtor claims they cannot pay until they get paid by their customer
  12. Debtor claims they lost a major client and thus cannot pay you
  13. Debtor threatens company bankruptcy if you demand payment
  14. Debtor executive responsible for authorizing or processing payment is “not available” and “will not be able to respond for a long period of time”
  15. Debtor asks you to be patient because they have new investors
  16. Debtor tells you to be patient because their company is being sold soon and they then will be able to pay
  17. Rumors in the industry (from customers’ staff, your sales staff, other creditors) of debtor financial trouble 
  18. Rumors in the industry (from customers’ staff, your sales staff, other creditors) of debtor company sale
  19. Debtor buying from your competitor(s) without having paid you yet
  20. Your competitor(s) calls asking for credit references on your debtor
  21. Debtor buys product at quoted price, but wants a bigger discount after receipt of merchandise
  22. Debtor asks you to accept return of merchandise long after the delivery has been made (and perhaps with goods not in resale-able condition)
  23. Debtor (falsely) claims you supplied defective products or services
  24. Debtor refuses to cooperate with reasonable and appropriate inquiries about their delinquent payment
  25. Debtor lies to you
  26. Debtor avoids contact, not returning messages / e-mails

Download a PDF of this A-Z list.


SCJ, Inc. Provides Expert Analysis

Get free expert analysis of a current receivables problem. Click here.


HOME | RECOVERY SERVICES  |  OUR FORMULA  | COMPARISONTESTIMONIALS  |  OUR MISSION  |  RESOURCES  |  CONTACT