Reviewing Credit with Clients

How often do you review credit information with your clients?

If a customer won’t take the time to fill out a credit application, and you choose to extend credit to the customer anyway, you can protect yourself. Make sure you interview that customer to obtain the information you need to determine creditworthiness and to use as a resource if the customer’s paying habits deteriorate. If you interview the customer by phone, keep a recording of the call (but be sure you can legally record the call under the laws of your state), or write the answers down on your standard credit application and add the completed document to the client’s credit file.

The information your customer provides is valuable when making credit determinations, but that information can be one-sided, as your customer may choose not to share unflattering information about themselves. Perhaps they conveniently forgot to mention tax liens against their assets, or maybe they “don’t remember” that they previously filed for bankruptcy protection. To balance out the possibility that some information may be false or exaggerated, obtain documentation from other sources for the purpose of verification, such as a credit report.

Problems often arise when you act without enough information to accurately assess creditworthiness. If you enforce your credit policies and get the documents you need now, you avoid problems later.

Experience Professional Collection Services in Michigan

Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Keeping Notes on Credit Clients

Do you keep thorough notes on your credit customers?

You can help keep the odds in your favor by insisting on good documentation throughout the credit and collection process. Good documentation begins with a credit application, which is required before your first sale on credit to any customer.

Beyond requiring credit applications, you should periodically review credit information for all your customers. Depending on your industry and your history with the customer, you might review credit information every six months or once a year, but even with established customers, you don’t want to go beyond a two-year review schedule. In between reviews, update your customer’s credit data whenever you come across new relevant information. Have your customers complete a new credit application or make appropriate additions and deletions to the old one.

You can avoid a lot of difficulties with defaults if you monitor your clients for changes in their business and financial health. For example, if you find out that a customer’s business has new ownership, or that the owners have formed a new but similar company, it may be time to thoroughly recheck that customer. Sometimes your clients really don’t want you to find out about changes, and that’s a reason in and of itself to recheck them.

Get Results with Collection Services in Michigan

Since 1961, our top-rated lawyers have been dedicated to ethically pursuing the money you’re owed. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, make use of our collection services in Michigan! Call (248) 645-2440 or submit a contact form for an effective resolution to your collection matters.

Detouring Around the Disconnected Phone

What could possibly be worse than voicemail jail? A disconnected phone! In business, a disconnected phone is usually the kiss of death for your collections. It can be a major frustration, but the phone may not be the only way to communicate with your customer. Possible quick solutions include:

• Emailing – Look for an email address on the customer’s credit application, letterhead, purchase orders, or website.
• Faxing – Sometimes even when the phone isn’t working, the fax machine still works. A fax number may also appear on a letterhead, websites, or credit applications.
• Texting – Even if your debtor’s voice mailbox is full, your contact may still accept a text message.

Muller Law Firm Specializes in Debt Collections in Michigan

If you need help settling a debt owed to your business by a debtor in Michigan, contact an experienced attorney who handles debt collections in Michigan. 

Let our experts handle all the work for you! Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away – get started today! We look forward to hearing from you.

When to Visit Your Debtor in Person

Is your debtor hard to contact?

Are they avoiding your calls?

Has their phone been disconnected?

The next step to contacting your debtor is to show up at their doorstep. Visiting your debtor may result in meaningful face-to-face communication, but there are potential drawbacks:

• The debtor is gone – Sometimes the debtor’s address is no longer valid, and driving to the location is a waste of time. Still, if you’ve made the trip, check to see if the business has moved.  Go next door and see whether the neighboring house or business has any information that may help you find the debtor.
• Angry confrontations – Upon arrival, rather than getting paid, you may discover that the debtor prefers to engage you in a verbal or physical battle. Leave if the situation escalates.

Muller Law Firm Specializes in Debt Collections in Michigan

If you need help settling a debt owed to your business by a debtor in Michigan, contact an experienced attorney who handles debt collections in Michigan. 

Let our experts handle all the work for you! Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away – get started today! We look forward to hearing from you.

Speeding Up Slow Payers with a Phone Call

Have you already sent a collection letter to your debtor?

If the letter doesn’t result in payment, your next contact is just as polite but should be made by phone. Of all the ways to communicate with customers, the two most effective are still two of the oldest: face-to-face contact and by phone. In modern business, face-to-face contact is impractical or even impossible with many customers. Fortunately, phone calls can be almost as effective as face-to-face contact. Communicating by phone with the person who has authority to write you a check is an effective way to secure payment.

Learn more about speeding up payments!

Providing Collection Services in Michigan Since 1961

Have you had enough with your debtors?

Want to take your collection efforts to the next level?

Partner with Muller Law firm for prompt and relentless collection services in Michigan. Muller Law Firm can provide collection services for business to business and business to client companies, specializing in pre-suit, post-suit, and post-judgment collection.

Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps.

Starting the Collection Process with a Letter

Are your customers’ payments continually late?

Start with a collection letter! As soon as your customer’s payment habits start to slip, contact the customer in writing. At this stage, your letter is just a gentle reminder, consistent with maintaining good customer relations. After all, the customer may have simply forgotten to make the payment.

You may contact your customer by mail, fax, or email. Whichever communication type you use, don’t forget to keep a paper trail. Request delivery confirmation for emails, keep fax confirmation sheets, and consider using certified mail or receiving delivery confirmation if there’s any possibility of getting the age-old excuse: “I never got it.”

Learn the next step in the collection process on our website!

Providing Collection Services in Michigan Since 1961

Have you had enough with your debtors?

Want to take your collection efforts to the next level?

Partner with Muller Law Firm for prompt and relentless collection services in Michigan. Muller Law Firm can provide collection services for business to business and business to client companies, specializing in pre-suit, post-suit, and post-judgment collection.

Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps.

Why Preparedness Means Everything in Court

Are you taking your debtor to court?

Are you fully prepared?

Your preparation or lack thereof can influence whether you win the case. Here are two mistakes to avoid!

Not knowing who may represent your company – If your business is incorporated or if you intend to send an employee to represent your company in court, make sure the court’s rules permit you or the employee to appear without a lawyer. Determine in advance who may appear in court by asking the civil court clerk or by reviewing the small claims court pamphlet.

Failing to bring a key witness – If a witness has important testimony to share, bring the witness to court. Even if your court permits you to submit affidavits, a written statement is usually given little weight in deciding a case because there’s no opportunity for cross-examination or assessment of witness credibility. If you don’t produce an important witness in court, you send a signal to the judge that you don’t really care if you win or lose.

Learn more mistakes to avoid on our website!

Collection Services in Michigan

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country.

To take advantage of our collection services in Michigan, contact us today!

Avoiding Common Mistakes During Litigation

Can’t get through to your debtor?

Have you decided to take legal action?

The most important thing you can do before litigation is prepare your case and gather all the information necessary. Common mistakes in small claims court include:

Expecting the judge to guide you – Don’t expect the judge to help you remember important facts, present your testimony and evidence, or tell you if you’ve forgotten to address a key issue. Some small claims judges are helpful, but some will let you sink or swim on your own.

Appearing without full documentation – If you find yourself telling the judge, “I left my file at home,” it probably means you’re going to lose the case.

Lacking conviction – The judge should sense that you believe in your case. Present your case in a manner that tells the judge, “I’m right, and I deserve the money the defendant owes me.”

Learn more litigation mistakes on our website!

Collection Services in Michigan

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country.

To take advantage of our collection services in Michigan, contact us today!

Steps Before Litigation

Can’t get through to your debtor?

Are you considering litigation?

Before going to court, try to enter a written repayment plan with the debtor, allowing them to pay off the agreed balance in installments.

In general, it’s good practice to keep good notes and records of your communication with the debtor. These notes are helpful if you do go to court.

Learn other steps to take before going to court!

Debt Collection Services in Michigan

Are you ready to pursue legal action?

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country.

To take advantage of our collection services in Michigan, contact us today!

When to Consider Legal Action

Are your debtors refusing to pay?

Before you threaten litigation, make sure you’ve laid a solid foundation. Although you can sue over any debt that’s owed to you, good collection practices improve your chances of winning and collecting the entire amount of your claim.

Make sure you have done the following first:

Formally Demand Payment – When the account becomes delinquent, issue a demand letter within the first 30 days. Follow up with the debtor, both in writing and verbally, reminding them to pay.

Work to Resolve Disputes – While following up on unpaid debt, identify any disputes from the debtor. Although not all disputes can be resolved, when appropriate, those disputes should be resolved or settled. 

Learn more steps to take before litigation.

Debt Collection Services in Michigan

Are you ready to pursue legal action?

Muller Law Firm can help with your case’s litigation. It starts with serving the debtor, receiving a judgement, and enforcing it. Judgment enforcement can help get you paid by garnishing your debtor’s wages, placing liens on their assets, levies on their bank accounts, and more.

To take advantage of our collection services in Michigan, contact us today!

Give Your Debtor Deadlines

How can you get your debtor to stop stalling their payments?

In your communications with the debtor, try this tactic:

Make your objectives known – You expect full payment by or before a specific date. Keep it straightforward. For example: “With the exception of [one or two legitimate disputes] raised on [one or two specific invoices] that I am researching, I expect full payment of the remaining balance of [balance not involved in dispute] by [a specific time]. I’ll have the information back to you on the disputed invoices by a [specific time].” Have your calendar in front of you while you’re on the phone and pick a date a week or so in the future. If full payment isn’t received by the agreed date, you’re dealing with a debtor who is stalling for time and can’t be trusted.

Learn additional collection tactics on our website!

Professional Collection Services in Michigan

Need help with collection services in Michigan?

Muller Law Firm can provide prompt collection services for B2B and B2C businesses, specializing in pre-suit, post-suit, and post-judgment collection.

When you’re looking for collection results, you want a reputable professional who has been doing this work for a long time. With over five decades of legal collections experience, you can count on the attorneys at the law firm of Muller, Muller, Richmond &Harms, P.C., to take aggressive action and to get results for you.

Fill out our contact form or give us a call at (248)645-2440 to get the money you deserve!

Short-Circuiting Debtor Stall Tactics

Do your customers stall with their payments?

If a debtor gets away with stalling on an account, your company ends up footing the bill for any shortfall in cash flow. In a difficult economy, your cash flow may be strained even when your customers pay on time. You must cut the stall tactics short to improve your cash flow and regain control.

Some of the best ways to short-circuit stall tactics are:

Require that disputes be supported by facts – A general allegation that “This invoice just doesn’t seem right” or “There must have been a mistake somewhere on your end” just isn’t sufficient. You can’t resolve that kind of dispute because you have no facts to work with. Make the debtor specify what’s wrong.

Quickly resolve any disputes – Insist that you need to know now what disputes exist, immediately followed up by any documentation the debtor has concerning the disputes. Example: “I hear what you’re saying about an alleged dispute, but I need you to back up your comment with full documentation. Can you fax it to me this afternoon?”

Learn more tactics on our website!

Professional Collection Services in Michigan

Need help with collection services in Michigan?

When you’re looking for collection results, you want a reputable professional who has been doing this work for a long time. With over five decades of legal collections experience, you can count on the attorneys at the law firm of Muller, Muller, Richmond &Harms, P.C., to take aggressive action and to get results for you.

Fill out our contact form or give us a call at (248)645-2440 to get the money you deserve!

What Should Be in Your Contracts?

Do you have problems with non-payment?

Are you carefully crafting your contracts?

When you draft a contract, you should incorporate standard clauses that clarify your intentions and simplify your life in the event of disputes or litigation.

Include provisions like:

Damaged Goods Handling – Procedures for handling, returning, or replacing damaged goods.

Dispute Resolution – Whether the parties must participate in alternative dispute resolution, such as mediation or arbitration, before resorting to litigation, and under what terms.

Form Selection – When the terms of your forms conflict with theirs, whose forms govern.

Interest – A provision for interest on any past-due balance.

Returns – How and when returns may be made.

Learn more common provisions on our website!

Contact Muller Law Firm for Collection Services in Michigan

Ready to get the money you deserve?

At Muller, Muller, Richmond, & Harms, P.C., our attorneys specialize in debt collection services in Michigan. We can help you build a strategy customized to fit your business needs and ensure you receive the best possible outcome in pursuing your case.

Fill out the information on our “Contact Us” page or give us a call at 248-645-2440 for prompt collection services in Michigan.

Default Contract Provisions to Include

Do your customers come up with excuses to not pay?

Are your contracts weak?

You should include contract clauses like these in the event of disputes or litigation:

Acceleration – A provision that causes any balances payable on an installment plan to become immediately due in the event of a default.

Automatic Renewal – A clause that says the contract will renew for an additional term if the buyer doesn’t cancel by a specified deadline. For example, the contract may renew in one-year terms if written notice to terminate the contract is not received at least 60 days before the expiration of the current term.

Choice of Law and Venue – Include the location where any litigation will occur, and what state’s laws are to be applied to interstate transactions.

Learn more provisions to include!

Contact Muller Law Firm for Collection Services in Michigan

Ready to get the money you deserve?

At Muller, Muller, Richmond, & Harms, P.C., our attorneys specialize in debt collection services in Michigan. We can help you build a strategy customized to fit your business needs and ensure you receive the best possible outcome in pursuing your case.

Fill out the information on our “Contact Us” page or give us a call at 248-645-2440 for prompt collection services in Michigan.

Solutions to Debtor’s Complaints

Is your customer refusing to pay?

Do they claim there was a problem with your goods or services?

Is the problem at the heart of the complaint on your customer’s end? Consider:

• Does the customer understand their role in the problem? If a customer is reasonable, you may be able to get them to realize that the problem is something they must fix or pay for. However, even with your explanation, they may still be angry or insist that you should be responsible for that cost.
• If the problem is minor and can be remedied for a modest cost, will accommodating the customer get you paid? Will you be setting a bad precedent that may cause you to absorb similar costs when dealing with this customer in the future?
• If the problem is more serious or costly, what do you have to do to solve the problem? Can you meet the customer halfway? Can you collect the bill while maintaining the customer relationship, and is that an important consideration?

Learn how to respond to more debtor complaints!

Prompt, Professional Collection Services in Michigan

Have you tried to appease your debtor, but still haven’t received payment?

You may need to take your collection efforts to the next level!

Muller Law firm can provide swift and ethical collection services in Michigan. Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed!

Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps.

Addressing Debtor Complaints

 Is your customer withholding payment?

Do they have complaints over the contract or quality of your products?

By getting specific details relating to the debtor’s complaints, you can address each of these issues to resolve the problem. Consider your debtor’s dispute:

• Is the problem at your end? Is it something you or somebody in your company did wrong, or something your company is responsible for? Fix it.
• Is the problem legitimately at both ends? Did a miscommunication or other error somewhere along the line cause your customer to believe, for example, that their entire order (not just one of many items) would be discounted?

Learn how to deal with a dispute where the problem is at the customer’s end on our website!

Prompt, Professional Collection Services in Michigan

Have you tried to appease your debtor, but still haven’t received payment?

You may need to take your collection efforts to the next level!

Muller Law firm can provide swift and ethical collection services in Michigan. Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed!

Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps.

Documenting Disappointment for a Paper Trail

Have you been keeping a detailed file on your debtor?

Documenting your disappointment is another aspect to add to the debtor’s file to create a convincing a paper trail.

Suppose you’ve reached an understanding and sent written confirmation to the debtor but haven’t heard anything back – no confirmation, no check, no apology. Send another letter reiterating the debtor’s admission and the agreement, and expressing your disappointment at the fact that the debtor didn’t follow through.

Learn what to do when you receive oral admissions!

Collect with a Collection Company in Birmingham, Michigan 

At Muller, Muller, Richmond, & Harms, P.C., our attorneys specialize in debt collection in Michigan. We can help you build a strategy customized to fit your business needs. We want to ensure you receive the best possible outcome in pursuing your case. 

To protect your creditors’ rights, contact an experienced collection company in Michigan today at (248) 645-2440 for an effective resolution to your collection matters.

Documenting Admissions

Is your delinquent customer ignoring your requests for payment?

Before a debtor commits to payment, you may have to force them to make an admission.

An admission is a statement from the debtor conceding that they owe you money.

Don’t think of getting admissions as a passive process, but rather as an active one. Anytime you’re in contact with your debtor, you’re fishing for admissions – especially written admissions. Take any opportunity to get an admission from your debtor that the money is owed. Hook your debtor and reel them in.

Documenting Oral Admissions

Although your goal is to get a written admission, that’s not always possible. But you can create a paper trail with an oral admission by doing the following:

• Note any oral admission in your records.
• Follow up the oral admission with a note or memo
• Send a confirmation of any oral agreements, and ask the customer to sign and return it

Learn how payments can be considered partial admissions!

Collect with a Collection Company in Birmingham, Michigan 

Since 1961, our top-rated lawyers have been dedicated to professionally and aggressively pursuing the money you’re owed in a straightforward, ethical manner. With offices in Birmingham and Grand Rapids, we handle claims against debtors located in Michigan, even if you are located out of state or out of the country. To protect your creditors’ rights, contact an experienced collection company in Michigan today at (248) 645-2440 for an effective resolution to your collection matters.

When to Insist on a Personal Guaranty

Is your customer considering a personal guaranty of payment to extend their credit?

When considering extending credit based on a guaranty:

• Confirm that the guarantor is creditworthy. To ensure that the guarantor is financially sound, you can informally rely on business reputation, the impressions of the salesperson on the account, or information someone else within your company who is familiar with the general financial condition of the proposed guarantor. A more sophisticated approach is to get a credit report for the proposed guarantor.
• If the guarantor is a corporation, require a resolution from the board of directors authorizing the individual to sign the guaranty.
• If the guarantor is an individual and you can do so while following the constraints of the Equal Credit Opportunity Act, have the guarantor’s spouse sign the guaranty so that you can collect action against joint assets.

Learn what to do once you get the guaranty on our website!

Collect with One of the Best Collection Companies in Michigan

Looking for other ways to collect?

Muller Law Firm will handle your case with the professional attention it deserves! 

Contact one of the best collection companies in Michigan today at (248)645-2440 for an immediate resolution to your collection matters.

What is a Personal Guaranty?

Are your customers asking for an extension of credit?

Are they less than trustworthy?

In the credit industry, when an applicant asks for an extension of credit that isn’t justified based on their net worth, rejection is imminent. One way to extend credit to applicants who fall into this category is to request that the customer obtain a guaranty of payment from either a person or another company. You can incorporate a guaranty into your credit application, or it may be a separate document.

Guaranties come in two forms: guaranty of payment and guaranty of collection or performance. With a guaranty of payment, you can collect payment from the guarantor without first trying to collect from the primary debtor. 

With a guaranty of collection or performance, you must first attempt (and fail) to collect from the primary debtor before you can collect from the guarantor.

You always want a guaranty of payment to collect as quickly as possible.

Learn what to expect from a guaranty on our website!

Collect with One of the Best Collection Companies in Michigan

Looking for other ways to collect?

Muller Law Firm will handle your case with the professional attention it deserves! 

Contact one of the best collection companies in Michigan today at (248)645-2440 for an immediate resolution to your collection matters.

How to Reduce Risk

Do you want to guarantee payment on a customer’s account, even if they don’t pay?

Consider factoring!

Factoring is when you sell the account receivable at a discount to another company – usually called a factor – for cash.

Instead of insuring your accounts receivable, you may decide to sell them. Your factor determines which accounts receivable it wants to purchase and at what discount. For example, if a customer owes you $10,000, your factor may offer you $9,000 for the account. You get your money when you sell the account receivable regardless of when or if your customer pays. You gain quick payment with no credit risk, but you lose the amount of the discount.

Learn other ways to reduce risk on our website!

Debt Collection Services in Michigan Since 1961!

If you want to use debt collection services in Michigan, your first step is easy. Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away- get started today! We look forward to hearing from you.

Should You Purchase Credit Insurance?

Don’t want to wait and see if your customers pay their bills?

Consider purchasing credit insurance!

Credit insurance, also referred to as trade credit insurance, is offered by insurance companies and some government export credit agencies. This insurance usually covers a fixed percentage of the account receivable. In other words, if the customer fails to pay a bill, your insurance company reimburses you for a portion of that unpaid bill. You must absorb the cost of the insurance as a business expense, and you still take a bit of a hit in the event of a default if you insure for less than the full value of your receivables. 

Learn about other options to reduce risk on our website!

Debt Collection Services in Michigan Since 1961!

If you want to use debt collection services in Michigan, your first step is easy. Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away- get started today! We look forward to hearing from you.

When to Hire Debt Collection Professionals

What kind of debt collection professional should you hire?

What should you expect from them?

Before you hire a professional, you must determine what services you need. Professionals come in all shapes and sizes, and they offer a laundry list of services to assist your credit and collection operations. 

Here are some services debt collection professionals can provide:

Billing Services and Early-In Collection Services – These services help you at the beginning of the credit process, from the time you provide your goods or services, long before any delinquencies occur. Why hire a professional so early? You may prefer to use an outside service instead of hiring and managing your own credit personnel, or you may prefer to maintain a small, in-house staff while the outside company provides the backup you need as your workload ebbs and flows.

Skip Tracing – It’s becoming easier for people and even businesses to move around without leaving much evidence as to where they’ve gone. Phone numbers may remain the same, regardless of where the debtor is located. When your debtors disappear, professionals can often find them and their assets.

Learn other services collection professionals can provide!

Looking for Debt Collection in Michigan?

Since 1961, our top-rated lawyers have been dedicated to debt collection in Michigan! At Muller, Muller, Richmond, & Harms, P.C., our debt collectors specialize in pre-suit collection, litigation, and judgement enforcement.

Let our experts handle all the work for you! Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away – get started today! We look forward to hearing from you!

How Can Debt Collectors Help?

Are your customers becoming debtors?

Is it time you got help with debt collection in Michigan?

Collection law firms are ready and willing to help you with billing, tracking down debtors that have gone missing, finding assets, and other credit and collection needs. Whether you have a problem with a small number of accounts or most or all of your accounts receivable, you can find professionals capable of serving your needs. 

Learn how debt collectors can help!

Looking for Debt Collection in Michigan?

Since 1961, our top-rated lawyers have been dedicated to debt collection in Michigan! At Muller, Muller, Richmond, & Harms, P.C., our debt collectors specialize in pre-suit collection, litigation, and judgement enforcement.

Let our experts handle all the work for you! Fill out the information form on our “Contact Us” page, or give us a call at 248-645-2440, to ask questions and figure out your next steps. Don’t let the money owed to you go away – get started today! We look forward to hearing from you!