Late or slow paying clients


LawnSite Senior Member
Portsmouth, VA
I was looking at the responses concerning who pays best or worse and wondering how you folks usually handle the slower bunch. I don't write letters, or make annoying phone calls, I just don't mow. When they call, I tell them I haven't received their payment and the computer dropped them from my list and as soon as they take care of their payment, I'll come mow. I don't like ethnic comments about Arabs, but I've worked for two couples who were Indian paid slowly. (all 4 of these folks were physicians driving Mercedes) The first couple stiffed me on a 3 month bill. I did start the process of taking them to court, $700 is $700! When they were served warrants, they called me to come pick up a check. I'm really curious to see what can be done when I get stiffed. Late charges? The few times I've added them, the clients ignored them.


LawnSite Senior Member
If you include the late fees in the &quot;fine print&quot; on your invoice,then they are legally liable for the late fees. Once an invoice goes past 60 days then I send a final demand,<br>if I get no respnonse,then I go straight to the debt collectors.<p>Karl<br>


LawnSite Silver Member
i was so sick of my costomers taking there time on paying me that this year im implimeted a late fee. They get there bill on the first of everymonth from the previous month. Payment is due the 15th and if not recieved after 30 days from the 1st they get a 15 dollar late fee. This worked so great the first two months of the season and now its been going down hill. Alot of The costomers now noticed that there is a late fee after 30 days not 15 so they wait untill the 29th day and drop it off.... next year im going to make the late fee if i dont receive the payment when its due. Yesterday was cut off for payments without a latefee and 10 still owe me so there 150 bucks in my pocket!


LawnSite Senior Member
Yes I agree about the arab comments . I have a mid-eastern customer that is a promt payer. <br>Late payers come in all sizes , shapes , genders and color and has nothing to do with how they pay . <br>LATE PAYERS ARE BUMS IN MY OPINION AND I HAVE NO RESPECT FOR THEM!!!!!!<br>Once I find out who is a cronic late bum I<br>get lax on'em and cut corners . If they comment on cut corners I say it's interest .<br>I have been stiffed for about 4-5K in my fifteen years and never bothered to send them to collection . I should have tried and will in the future .


LawnSite Bronze Member
Somerset, NJ
Evan528,<br>Be careful with that flat $15.00 late fee. There are federal & state laws that say the maximum amount that one is allowed to charge as interest on money owed. They are all based on a percentage of the amount owed instead of flat fees. I'm not sure what the penalties might be for overcharging but you may want to check with your state government (or maybe an accountant?) to make sure you're not breaking any laws.

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