What do you do when an account is inactive? In the past i have mailed them a letter basically making them choose to keep there account open. I have since then lost the form to do this. Does anyone have ideas? Or a form you use.
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Posted 2 years ago #
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For your consideration
Date
Customer Name
AddressAttention:
Dear :
Our records indicate that it has been x months since your company last purchased from us. Our system has classified your account as inactive. If you wish us to keep your account open, please contact me by mail, email or fax to confirm that your company intends to purchase again from us in the near future. My contact information is shown below.
If there is no response to this notification within 15 days, we will zero the credit limit and change your account status to closed.
Please contact me if you have any questions, comments or concerns. Thank you for your prompt attention to this message.
Sincerely,
Etc.
Posted 2 years ago # -
You may also want to include something such as "additional information may be required to update the file". This is an opportunity to get an updated application etc
Mr Dennis - I'm glad to see your post :-)
Posted 2 years ago # -
Thank you so much.
Posted 2 years ago # -
I wrote a book called Credit and Collection Forms and Procedures Manual. This is just one of many form letters I have on a CD. I am a big believer in having a form letter for every occasion as a way NOT to have to re-invent the wheel every time I correspond with a customer.
Best regards
Michael Dennis
Posted 2 years ago # -
I agree in principle with having a lot of form letters ready, but I generally tailor these letters for specific customers or events. On a monthly basis, I probably write one or two altogether new letters, or extensively rework an existing form letter, in order to precisely communicate what I mean.
Form letters are good, but customers can usually tell they *are* form letters, which can rob them of some of the impact they might otherwise have.
BTW, who published your manual, and when? Is it still available?
Posted 1 year ago # -
Scott,
I agree completely that even form letters must be customized otherwise they are likely to be ignored. For example, I would never write something generic such as: "Your account is seriously past due." I would instead write: "Your account has a past due balance of $12,345.67 that is between 15 and 21 days late."
The Credit and Collection Forms and Procedures Manual was published by Prentice Hall and is available at amazon.com
Posted 1 year ago # -
Our sales dept has asked me to revise my closed due to inactivity letter to include - we can not reopen the account due to distribution isssue. I feel this is a sales / marketing issue not a credit issue.
Any thoughts on this?
Posted 1 year ago # -
JC,
seems like it is...but as usual, working in Credit means: having to do anything/everything others don't want to deal with. :)
Posted 1 year ago # -
"We cannot re-open the account due to distribution issues" does not seem to be a complete statement. How about: "If your account is closed as described above, we will not be able to re-open the account at a later date."
Posted 1 year ago # -
Michael, I agree it is not a complete statement, even if I would state that "we will not be able to re-open the account at a later date" the recipient would still contact the Credit dept with questions as we sent the correspondence.
The Credit dept already delivers the credit line decreased, payment terms changed, credit hold, credit declined, credit withdrawn news, now we have to tell them we can never reopen your account.
I feel that if my sales and marketing dept chooses not to sell to someone because of a distribution issue that type of information should be delivered by Sales not Credit - at least that is the way I presented it to my Boss.
Christine, Yes many things are passed our way. I do enjoy taking on new assignments and broadening my knowledge however from time to time I think that we cross into other departments responsibilities.
Posted 1 year ago # -
I respectfully disagree. If and when the customer calls to find out why the account would not be re-opening in the future, I would either: (1) require that the sales department provide a script that describes the reason and rationale for their decision for me to read, or (2) I would inform that caller that the decision was actually made by the sales and marketing department and that since I have no other information relevant to their inquiry that they contact "Name" at extension #xxx.
Best regards
Michael Dennis
Posted 1 year ago #
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