Originally Posted by
glassngrass
If you started with a debt commection agency, then went thru VCAT and got payment, then you may find you are still liable for debt collector' commissions (check your agreement)
You may lose more than a day preparing for VCAT, then another for your day in court (you represent yourself) - hardly without 'cost'.
Good decision. Most wait far too long before handing over to a debt collector.
My recommendations:
1. within days of being overdue, give a freindly reminder
2. A week later, a firm reminder
3. A week later, a stern reminder, also notifying the debt will be handed to debt collector within week.
So to the debt collector after 30 days..... And if it gets to this, they are no longer a client.
Mention the threat/blackmail of online defamation - they may well give a verbal caution to the debtor.
Remember debt collection agencies generally have their own in-house legal firm (which owns the collection agency)
Don't waste any more emotional energy on it - leave it to the debt collection specialists and return your focus clients that appreciate you and on generating income.
Spend a little to get PRUSHKA to help you develop Account Terms - so debtors become liable for any legal fees/debt collector commissions in case debt become delinquent in the future.
Reconsider how to reduce your exposure, such as part payment up front, payment for day's work at end of each day, materials on the client's store account. Review various threads on indy forum for some other great suggestions that work.