Despite attempts to be diligent, a bad check can occasionally slip through. A New Jersey collections attorney suggests it is a good idea to have a protocol in place to address the problem should it arise.
Devising a Strategy
The first step is to realize this is part of doing business, albeit an unpleasant part, and not take it personally. Sometimes a bad check is simply a mistake and not an attempt to defraud. In either case, a New Jersey collections lawyer understands the best approach is to follow a step-by step procedure.
Call the Bank
Cash flow is an ongoing issue for many businesses and sometimes the timing is such that a deposit has not posted before a check was submitted for payment. A New Jersey collections attorney indicates that most banks will tell you if there are sufficient funds in an account to cover a specified dollar amount. If there are insufficient funds when the first call is made, it may be advisable to wait a few days and try again.
Call the Customer
The next step is to directly contact the customer and gently request they make good on the amount owed. A New Jersey collections attorney cautions there are some actions to avoid when doing so.
• Call only during daytime hours
• Do not discuss the debt with anyone else
• Do not make any threats
Write a Letter
The letter should be sent certified with a return receipt requested and should once again ask for the specific amount of money owed. It is particularly important to follow this step, a New Jersey collections lawyer emphasizes, as it provides verifiable evidence of the attempt to collect the debt should a prosecution be necessary later.
Explore Legal Options
Depending on the amount of the debt, it may be necessary to hire a New Jersey collections attorney. Other options include filing a complaint with the District Attorney’s office or suing in small claims court.
Contact a New Jersey Collections Lawyer for Legal Advice
Don’t let bad debts hamper your ability to conduct business. Call Snellings Law, LLC, a New Jersey collections attorney group, at 973.265.6100.