Question

The following statement describes one particular approach that could be used when attempting to influence a debtor to clear an overdue account.

‘The collector should approach the person with an indulgent tone at first. Then, once the debtor is listening, intensify and accelerate the words and tone of voice to ensure an agreement is made by the debtor to pay the amount back.’

Do you think this approach can be successful? Why/ Why not? Discuss in 50–80 words.

Answer 1

No, such an approach will not be successful because it will irritate the debtor and he may decide to not pay at all or will never do a business transaction with you. He may perceive it as a form of aggression. Rather by offering option of cash discounts and other favourable terms will induce the debtor to pay off his debt. Encouraging the debtor to pay early by providing him more business if possible, provided the debt is cleared early is the best option.

Best of Luck. God Bless