How to Deal with Unpaid Invoices

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How to Deal With Unpaid Invoices: Top 12 Ways to Recover Debts

You may come across several clients who simply don’t pay on time, and such situations need your immediate attention! Many companies and individuals fail to oblige your payment terms even after agreeing to them before placing an order.

During such times, you may want to know how to deal with unpaid invoices. It helps you recover your debts and keep your cash flow running efficiently.

Naturally, unpaid invoices are a liability for businesses. They cause several inefficiencies, deficits, and other issues. Thus, you may find your company in a complicated position where most of your revenue is stuck. Fortunately, having robust payment-recovery strategies can help you!

First, write an unpaid invoice letter to your creditors. You may also pair it up with other strategies, like email reminders and phone calls. Remember to remain persistent with customers who constantly delay payments. Also, try to interact professionally at all stages of your payment-recovering process because it reflects your brand image significantly.

So, what is the correct way to deal with non-payment of invoices?

Which plans can you adopt to get paid faster and save customer relationships?

In this article, let us discuss the best strategies you can use to acquire these objectives simultaneously.

How to Recover Unpaid Invoices?

Several debt collection agencies, credit controllers, etc., focus on getting clients to pay their due bills. Their methods aren’t too hard to implement. But, they need some planning and perseverance to keep you going until your bills are no longer outstanding.

Below, we have compiled the most effective methods to handle unpaid invoices:

Be Prepared in Advance

Never wait for an invoice to go unpaid to do something about it. Draft some tried-and-tested plans beforehand to be ready to face such scenarios.

Know Your Clients

Try to know about your clients before you get into a credit agreement with them. A quick credit and background check can help you understand their history and reputation in the industry.

Thus, you can choose whom you want to provide your products and services on credit. It should be your first step to prevent having unpaid invoices in the first place.

You can also get some information on the Australian Securities and Investments Commission (ASIC) website about dealing with companies you don’t know.

Have Your Clients Sign a Contract

It is essential to enter an agreement with your customers to avoid non-payment of invoices. This contract should list the payment terms and conditions clearly to avoid misinterpretation in the future. Moreover, it safeguards your interests and makes the creditor liable for the bill they are signing the contract for.

Putting all your terms on the table at the start helps you form trustworthy customer relationships and help you with unpaid invoices. Ensure that your clients are completely aware of the costs and the due dates. Such clarity helps both parties act accordingly and prevent potential problems.

Employ an Effective Invoicing System

Sending your invoices on time is one of the best tips on how to deal with unpaid invoices. You may send a proforma invoice beforehand for your clients to review and accept the terms. Once you get the confirmation verbally and in writing, you can fulfil the order.

You should always provide clients with bills upfront. Avoid waiting too long before sending an invoice because your customers might forget about it. Also, a primary reason for unpaid invoices is incorrect details in a bill. Hence, ensure that your invoices are accurate and timely.

Keep in Touch With Your Customers

Most businesses that wonder how to recover unpaid invoices might already know this method. If your payment terms say that the payment is due after six months, you should stay in constant contact with your customers until then. You may send them marketing emails, newsletters, postcards, etc., to remind them about you and their soon-to-be-due bills.

Thus, you can improve your rapport with your customers while reinstating your messages.

Understand Your Trading Rights

Always stay up-to-date regarding fair trading practices and consumer protection laws. You may speak to a legal advisor to learn more about the non-payment of invoices and how to deal with creditors.

Send a Reminder With an Overdue Invoice

After a bill is overdue, you can start sending out payment reminders to your clients. Also, attach a copy of the invoice with a big ‘overdue’ stamp. This way, your client’s first thought, when they open the envelope, is that their bill is outstanding.

You can also stamp non-payment of invoice’ on your outstanding bill, indicating that the customer missed their due date.

Before you take any further steps about the unpaid invoices, you must ensure that the client already has a digital and print copy of the bill.

Provide Your Customers With a Statement of Accounts

An account statement allows customers to view their invoice details together. It summarises all their transactions with your business and what they owe you. It may be a good idea to send an account statement after the client fails to acknowledge their unpaid invoices.

Australia Post has many delivery services that provide you with the recipient’s signature. Storing the evidence of delivery to your clients can help you in case of legal disputes. Also, it lets you guarantee the correct recipient received your mail item.

Alternatively, you can email the statement with the unpaid invoices to the concerned person. You cannot ensure that the recipient pays attention to your message, but you still have digital proof.

Make a Phone Call

Don’t hesitate to contact your clients 1:1 and ask them about their unpaid invoices upfront. Making a phone call to creditors is another effective technique for businesses that consider dealing with unpaid invoices. But, most companies avoid conversing with their clients this way because it may seem awkward.

Hence, it is best to leave this task to the sales representatives. They already know the client better and have a personal connection with them. So, they can make the call to request clients pay as soon as possible.

Write an Unpaid Invoice Letter

Direct mail is an excellent way of grabbing people’s attention and making an interaction memorable. Therefore, it is the best channel for people to send financial correspondence, like bills, receipts, statements, cheques, etc.

You can draft a personalised unpaid invoice letter to your clients as a reminder. Also, you can use it as a notice or ‘letter of demand’ before you take legal action.

However, there are some things you should keep in mind before sending out direct mail letters, including:

• Write the number of days since the unpaid invoices were overdue.
• Remind them of the payment terms you and the client agreed to before confirming the order.
• Encourage the client to reply to your letter and offer you an update regarding their outstanding dues.
• Mention your contact details visibly and print your unpaid invoice letter on letterhead. 
• Use professional-looking envelopes to prevent the recipient from confusing your letter with junk items.
• Switch to a firmer tone if your earlier letters don’t get a reply. However, remember to use professional language only.

Here’s a template of a result-driving unpaid invoice letter:

[Your name] 

(You can send the letter on behalf of your sales representative who was in touch with the client. Or let a decision-maker like the head of the department or senior manager write it.)

[Your full address]

[Date]

[Recipient’s Full Name] 

(It is best to address the person you had the deal with or whose name appears on the invoice.)

[Their mailing address]

Subject: Non-Payment of Invoice

[Salutation]

(Use an informal salutation if you know the recipient personally.)

[Introdution] (Mention the details of the client’s unpaid invoices and discuss the payment terms. Let them know they missed the deadline and may need to pay interest.)

[Body]

(If you missed any information regarding their bills, include it in the second paragraph. 

Also, you can propose a revised payment plan to help the client pay in full.)

[Closing paragraph]

(Ask them to contact you if they are unclear about the unpaid invoices and need assistance.)

[Closing line]

[Signature]

[Enclosures]

Below, we have also included a sample for your reference:

H&F Motors Pvt. Ltd.

71 ANEMBO AVE

PIMPAMA QLD 4209

Contact no: +61 7 xxxx xxxx

Date: 4th August 2022

To,

Mr Harry Kelly

8 ASHTON RD

DURRAN DURRA NSW 2622

Subject: Non-payment of invoice.

Dear Mr Harry,

This is to inform you that your invoice nos. 9812 and 8423 are still overdue. Their due dates were 18th June 2022 and 20th July 2022, respectively.

We have already sent you two reminders over the past two weeks. Please note that a 5% interest is applicable on your unpaid invoices.

We have attached a copy of your invoices for your perusal. Also, we have emailed them to you. Please review them and contact us if you have any questions or concerns.

We thank you in advance for your payment.

Yours sincerely,

Pheobe Tonkin

[Signature]

Note: This unpaid invoice letter sample is for contacting your clients between one to four weeks after their bill is overdue. It is best to send at least three letters before passing the invoice to a collections agency:

1. After three days to two weeks of an invoice being overdue
2. Between one week and one month
3. After two months

PostGrid’s direct mail services help you precisely draft, print, and ship such letters to the intended recipients. Also, it allows you to track your mail and monitor your campaign progress in real-time.

Some companies that want to know how to recover unpaid invoices also opt for email reminders. You can use the same template and conduct an email drip campaign to make your message noticeable.

Charge a Penalty on Non-Payment of Invoice

The good news is that you can charge interest on unpaid invoices. But, you cannot do it without informing the client about it before they place an order. It means you must have an official late-fee policy that you should communicate to your customers beforehand. Also, mention the same in your credit agreement to avoid confusion later.

Most businesses quote this interest as a specific percentage of the invoice amount. You can also adopt the same practice, but it’s better to break it down for your clients. Mention the calculated interest in your unpaid invoice letter. Here’s an example:

Inform your client that their invoice amount is $100. But, if they pay late, they need to pay interest of @10% per week, totalling $110 every additional week. Hence, if they fail to honour their dues until a specific date, their total due will be $xxx.

You can offer to waive this fee if the client gets ready to pay off the unpaid invoices right away.

Give Discounts and Try to Reconcile the Payment Terms

Instead of offering incentives after your unpaid invoices are outstanding for a long time, try to give discounts at the earliest possible. For instance, many businesses mention in the invoice that they would offer a 2% discount on the bill amount if the client paid before the due date. These things encourage customers to pay ahead of time, eliminating the problem of non-payment of invoices.

Moreover, you can offer a revised payment schedule ranging between three to six months for resolving non-payment of invoices. However, resort to this strategy only if the client communicates with you and is ready to pay if you renew the payment terms. Some customers don’t pay because they want to hop onto such incentives, wherein it is best to use other options.

Stop Supplying to Clients With Unpaid Invoices

Sometimes, you may still get orders from creditors who claim they would pay off all the invoices together. However, piling up invoices while continuing supply may not be a good idea. Instead, ask the clients to pay first before they can place another order. It may seem like an aggressive strategy, but it protects you against non-payment of invoices.

Hire a Debt Collections Agency

Employing a debt collection agent and handing over your unpaid invoices to them helps you move on with your business. Take this step when you have exhausted all ways to interact with the client and wait for a reply. However, in your last unpaid invoice letter, you can mention that you would pass the matter to a collections agency. It acts as a final warning to clients before you move ahead.

The agency may charge a small commission on every bill, but it is still better than getting nothing. Also, this step allows you to forget how to deal with unpaid invoices and focus on other clients. And you can get your fee back by charging interest on your bills.

Another option is getting in touch with a trading bureau and making the issue public record. It can hurt the client’s reputation, but this step is crucial to alert other businesses of such customers.

Factor Your Unpaid Invoices

Invoice factoring is not ideal, but it allows you to function smoothly at present. If you have financial issues and need the money, you can sell your unpaid invoices to a factoring agency.

Factoring helps you get a cash advance of around 70% to 90% of the bill amount. You need to pay the necessary interest and service fees to the agency.

The agency advances the money to you within three to seven business days. Then, it recovers the payments from your creditors for the unpaid invoices and sends the balance cash to you.

Please note that factoring agencies aren’t like debt collectors. You may need to pay the service fee and interest even when your creditors don’t pay. Also, these agencies run a credit check on your client before accepting any non-payment of invoice matters.

Consider Mediation

A mediator is a neutral individual or agency that helps you and the client resolve the dispute over unpaid invoices smoothly. You can hire a local mediator or try requesting help from the Australian Small Business and Family Enterprise Ombudsman, which offers a dispute resolution service online.

Mediation is also a form of negotiation, which means that you may require to give some discounts to incentivise the client to settle the dues.

File a Complaint at the Small Claims Court

If none of the above options work or you feels confident that the client does not want to pay off the unpaid invoices, you must take legal action. However, ensure that the invoice amount is worth your time and effort to prepare and present a case in court.

The recovery of debts not exceeding $100,000 falls under the jurisdiction of the Local Court. Similarly, the case starts in the District Court if the amount of your unpaid invoices is more than $100,000. Consider following legal advice before initiating any court proceedings.

How Can PostGrid’s Direct Mail Services Help You Handle Non-Payment of Invoice?

Our print and mail automation solutions help you draft and send accurate invoices to clients. Hence, you never have to solve queries related to incorrect details, late invoicing, lost client mail, etc.

Also, PostGrid allows you to keep records of all the sent mail, which you can use in case of unpaid invoices. You may use our direct mail automation software to trigger mailing campaigns on specific dates. Thus, you can send timely reminders to clients before and after their bills become overdue, enabling you to keep non-payment of invoices at a minimum.

Armie, who works for a large pharmaceutical corporation, uses our automated direct mail API to send nearly 4,000 invoices monthly. Some of them are new invoices, while others are copies to remind the clients to pay. Today, they only deal with 1% unpaid invoices and have a smooth revenue flow.

Also, they don’t need to worry about how to recover unpaid invoices because they have a strategic payment-recovery program. Using PostGrid, they prepare and ship payment letters to creditors that allow them to cut losses by about 90%.

You can integrate our API into your CRM to send invoices and payment letters to clients effortlessly. With our 2-business day SLA, it feels like a breeze to place orders for bills, statements, and other mail items.

Furthermore, PostGrid cross-checks your clients’ delivery addresses to ensure they get your mail—further helping you deal with non-payment of invoices.

To Summarise

It is worrisome to have a pile of unpaid invoices sitting on your desk. These outstanding dues can disrupt your internal functioning severely. In short, it is unsustainable for your business, and you must do something about them.

Luckily, having a proper payment plan and sending out an unpaid invoice letter can help you to a great extent. You can try using PostGrid’s direct mail services to automate everything and sit back. Our solutions enable you to bag a positive ROI, boost your brand image, and nurture client relationships.

Learn more about how to deal with unpaid invoices using PostGrid. Sign up now!

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Mailing Options and Postage Rates Australia

Australia Post is one of the most reputed postal organizations in the world and you should be aware of the postage rates Australia. Understanding these rates can help you choose the right service to mail your letters and parcels properly.

In late 2019, Australia Post decided to increase the cost of postage stamps in Australia. Later, the Australian Competition and Consumer Commission (ACCC) announced that they have no objections regarding the increase. This was the first hike in the postage rates in Australia after 2015.

In this blog, we will discuss the postage rates for different mailing options and how you can avail of bulk discounts.

Australia Post Postage Rates Within Australia

Australia Post delivers postcards, letters, and parcels throughout Australia. It doesn’t matter if you want to send something from Victoria to Tasmania or anywhere else, it can get your mail delivered in the prescribed time.

There are several options for you to mail your postcards and letters. Find below these options along with the letter postage rates in Australia:

Regular Letters

You can choose this option if you don’t want to send anything urgently. It takes a little time to send regular letters, but it is the most affordable option.

The standard postage rate in Australia for small letters and postcards is only $1.10. The dimensions should not exceed 130 x 240 x 5mm to avail of this rate.

If your letters are larger than these dimensions and weigh up to 125g, the rate doubles to $2.20. The dimensions of any letter or postcard cannot cross 260 x 360 x 20mm, else they are charged as flats.

For letters and postcards weighing between 125g to 250g, the postage is $3.30. The maximum weight limit for large letters is 500g chargeable at $5.50.

Same state deliveries are completed within 2 to 4 business days. It can take up to 3 days to deliver something within metropolitan regions or capital cities, adjacent cities and towns in the same state, or within the same cities and towns.

However, Australia Post takes up to 4 days to deliver mail across country locations, and from metropolitan regions of capital cities to country locations or vice versa.

Interstate deliveries are completed between 3 to 6 business days depending on the place of origin and destination.

Australia Post Xmas postage rates decrease during November and December. Thus, you can mail regular Xmas letters and postcards cheaper during the holidays.

Priority Letters

As the name suggests, priority letters are sorted and delivered on a priority basis by Australia Post. The letter postage rates for such mail are not too expensive, and anyone can avail of them easily.

For sending priority letters, you need to purchase priority labels and stick them next to your stamps. A booklet of 5 priority labels is available for $2.50 making the cost of 1 priority label only 50c.

This way, the Australia Post postage rates for A4 envelopes for priority letters are as follows:

• Small letters and postcards cost $1.10 + 50c
• Letters weighing up to 125g cost $2.20 + 50c
• Letters weighing up to 250 g cost $3.30 + 50c
• Letter weighing up to 500g cost $5.50 + 50c

Please refer to the dimensions mentioned in the above section for reference.

Adding a 50c label to speed up the delivery process is a great deal for you. Same state deliveries take as less as 1 to 2 business days, whereas interstate deliveries take up to 4 business days.

Express Post Letters

Express Post helps you get your letters delivered the next business day. You can also avail of Australia Post tracking for all Express Post items. Hence, it is one of Australia’s fastest and most efficient ways of mailing letters.

Next business day deliveries are available for mailing between all capital cities (except Darwin) and some major towns. If your destination is not mentioned in the list of delivery locations, it may not be possible to deliver your mail the next day. But, Australia Post still treats it on a priority basis and completes the delivery as soon as possible.

To send Express Post letters, you should first buy Express Post prepaid envelopes. Enclose your letters in these envelopes and post them in a nearby yellow Express Post box. You can also take them to a local Express Post outlet.

How much is the standard postage in Australia for Express Post letters? Small DL envelopes with window face cost $7.35. Their maximum size is 110 x 220mm.

Medium-sized C5 envelopes are available for $7.65 and do not measure more than 162 x 229mm. If you want to send large letters, buy B4 envelopes for $9.05 whose maximum size is 250 x 353mm.

The Australia Post bulk postage rates for Express Post prepaid envelopes are:

• $71.70 for small packs of DL envelopes. Larger packs that have more than 10 envelopes cost $69.85
• $74.60 for medium-sized C5 envelope packs. Larger packs cost $72.70
• $88.25 for small packs of B4 envelopes. Larger packs cost $86

As you can see the bulk postage rates in Australia Post are always lower than the standard rates.

Registered Post Letters

Registered Post offers several features like proof of posting, bulk discounts, signature on delivery, and online tracking.

Like Express Post, you need to buy Registered Post prepaid envelopes to send letters via this option. The price of these prepaid envelopes includes the postage and Registered Post fee.

There are two types of Registered Post prepaid envelopes depending on the maximum thickness and size, and they are:

• 130 x 240mm size that can enclose small DL envelopes: Their maximum weight and thickness are 250g and 5mm respectively. The price per envelope is $5.40. You can purchase packs of 10 such envelopes for $52.65. If you purchase in bulk, the rates decrease to $48.60.
• 353 x 250mm size to enclose B4 envelopes: Their weight cannot exceed 500g and the maximum thickness limit is 20mm. The rate per envelope is $7.20 and you can purchase packs of 10 for $70.20. However, you can avail of the bulk rate of $64.80 if you buy larger packs.

You also have the option to purchase Registered Post labels. The rates for these labels do not include the postage.

The cost of every Registered Post label is $4.30. If you buy a box containing 50 prepaid Registered Post labels, it will cost you only $180.

For better security, you can avail of the below optional extras for a fee:

• Delivery Confirmation: $2.95 (the recipient’s signature is returned to you)
• Person-to-person Delivery: $6.30 (your letter is only delivered to the addressee)
• Extra Insurance Coverage: The first $100 of coverage is available for free. You can pay additional postage insurance rates for every $100 worth of coverage up to $5,000

You can use the Registered Post option along with either regular letters or Priority letters.

Domestic Letters With Tracking

Do you want to track your regular and priority letters? If yes, this option is perfect for you.

Buy prepaid envelopes for domestic letters with tracking. Australia Post charges a little extra above the Australia Post standard postage rates to give you the tracking facility.

• Small envelopes cost $3.05 and you can buy a pack of 10 for $30.00
• Medium-sized envelopes are available for only $5.10 per envelope. Buy packs of 10 for $48.50 per pack
• Large envelopes cost $6.15 and you can buy a pack for $58.40

If you want to send your letter on priority, add the 50c priority labels to the above envelopes.

Sending Parcels Within Australia

How much is postage in Australia for sending parcels? Broadly speaking, there are two options for you to send parcels within Australia. Find below these options along with their rates:

Parcel Post

The Parcel Post option is ideal if you want to send parcels worth up to $100. The delivery speed depends on your destination but takes at least 2 business days. 

It is a very cost-effective option to send parcels within Australia and also offers other benefits like:

• Tracking.
• Up to $100 compensation in case of certain losses.
• Carbon neutral parcel delivery.
• Optional Signature on Delivery.

Express Post

As discussed earlier, Express Post helps you deliver mail on the next working day. It covers about 80% of all Australian addresses. Find the other benefits below:

• Tracking.
• Free $100 insurance coverage.
• Carbon neutral parcel delivery.
• Convenient lodgement- You can lodge your Express Post parcels at a nearby post office or a yellow street post box. Australia Post also offers parcel pickups for Express Post packages. You can schedule such pickups according to post office timings and your convenience. 
• Optional extra cover and Signature on Delivery.

The Parcel Post rates Australia are mentioned in the flat rates postage section below. Please note that you can only send parcels weighing up to 5kg under these options.

Flat Rate Postage

What are Australia Post parcel postage rates? To understand how Australia Post charges for sending parcels, you should know their “If It Packs, It Post” scheme.

This program is mainly introduced for parcels, which are also known as flats. It helps you send parcels weighing up to 5kg all across Australia at national flat rates. 

They have four options under If It Packs, It Posts- small, medium, large, and extra-large. If your parcel fits in either of these ranges, you can mail it under as flats. 

• Mail weighing up to 500g comes in small packages.
• Anything weighing between 500g and 1kg comes under medium.
• Mail weighing between 1kg and 3kg needs large packaging.
• Extra-large packaging is used for mail weighing from 3kg to 5kg. 

The main motive of this program is to let you know the Australia Post postage rates for parcels upfront. Your parcel should fit in one of their packaging and satchels. 

This way, the postage is calculated based on your packaging size, and not the destination or weight of the parcel. 

You can choose from a range of Australia Post tough bags, padded mailers, tubes, and boxes. Apart from these, you can also use Parcel Post and Express Post satchels or the new Express Post Parcel Boxes. 

Simply select your mailing speed and packaging to know your postage. Australia Post has also now launched tiered national flat rates to send parcels with your own packaging (BYO packaging). 

For anything weighing over 5kg, the postal costs are based on distance and weight. Use the Australia postage calculator to know the exact rates. 

Small Packaging

One parcel that fits in small packaging costs $9.30 and $12.3 respectively for Parcel Post and Express Post. Please note that these rates do not include the packaging cost. 

Find below small parcel postage rates and packaging options:

• Small mailing tubes come in a pack of 50 and cost $75.50 per pack. Their dimensions are 60 x 420mm. 
• Flat rate small satchels come in a pack of 10 and cost $2.50 per pack. 
• You can buy the small padded mailers at $86.40 for a pack of 100. 
• Elsewise, you can opt for small recycled padded bags that also come in a pack of 100 and cost $86.80.
• Small parcel boxes are a very ideal option to send parcels measuring 220 x 160 x 70mm. You can buy a pack of 20 for $26.17. 
• If you are looking for something sturdier, go for small tough bags that come in a pack of 100 and cost $54.90.

Find some more options from the small packaging range (all rates are inclusive of postage): 

• The Express Post Platinum small satchel comes in a pack of 10 for $172.60.
• Express Post small satchels cost $122.35 per pack. 
• Parcel Post small satchels cost you much less as they cost only $93.10 per pack. 

As these options are prepaid, you don’t need any stamps or any other form of postage to mail your parcels. 

Small things like clocks and chocolates can fit perfectly in small packaging.

Medium Packaging

If your parcels are a little bigger to fit in small packaging, you can use medium packaging. It costs a little more but provides added security to your mail. 

The Parcel Post rates in Australia are much more affordable than Express Post rates. It costs you only $12.70 to send medium-sized parcels via Parcel Post, whereas the rate increases to $16.20 for Express Post. These rates are not inclusive of packaging costs. 

Find the packaging options below:

• Medium-sized mailing tubes cost you $55.25 for a pack of 25.
• Flat rate medium satchels are your cheapest option as they cost only $2.50 for 10 satchels. 
• Medium tough bags cost $61 per pack. 
• The Australia Post postage rates for medium padded mailers cost $99.20 per 100 mailers. 
• Medium rigid mailers come in a pack of 40 and are worth $96.72. 
• 20 medium parcel boxes cost $33.48.
• 100 recycled padded bags cost $105.
• Medium-sized prepaid satchels used to send parcels via Parcel Post cost you $126.25 for 10 pieces. If you wish to send them via Express Post, the cost rises to $160.40 per pack. 

Medium packaging is best used for things like soft toys, utensils, and cosmetic boxes. 

Large Packaging

Large parcels cost $15.95 for sending via Parcel Post and $19.95 for Express Post. 

Learn about the packaging options below:

• There are quite many options to send parcels using large packaging. The cheapest option is flat-rate large satchels that cost $3.50 for a pack of 10. 
• Mailing tubes cost $72.16 for a pack of 16.
• Padded mailers cost $82.20 per pack.
• Large parcel boxes are worth $36.20 per pack. 
• 50 large recycled padded bags cost $73.45.
• Tough bags cost $84.24 per pack. 
• Wine boxes (single) come in a pack of 10 and cost $30.77 per pack. 
• Wine boxes (twin) are almost double the size and cost $43.87 per pack. 
• BX24 large parcel boxes cost $34 per pack. 

There are three prepaid options namely Express Post Large Satchel, Express Post Platinum Large Satchel, and Parcel Post Large Satchel. The rates are $197.95, $234.50, and $158.95 respectively for packs of 10. 

Extra Large Packaging

Want to send something that is extra-large in size, like boots or a game box? Try this option. 

The rates for sending parcels in extra-large packaging are $19.20 for Parcel Post and $26.20 for Express Post plus packaging. 

The packaging options are:

• There are very limited options for extra-large packaging. 
• Flat rate extra large satchels are available for $4.50 per pack.
• Parcel boxes are worth $45.43 per pack and tough bags cost $75.95 per pack.

For postage-inclusive options, see below:

• Express Post Extra Large Satchels: $259.85 per pack. 
• Parcel Post Extra Large Satchels: $191.60 per pack. 

If you want to buy packaging materials in low volumes, head to your nearest post office. For bulk purchases, it is advisable to visit the Australia Post website. There are many discounts on Australia Post bulk parcel rates, so make sure to enquire about them. 

Cost of Postage Australia for Mailing Internationally

Now that we know the domestic postage rates in Australia, let us move ahead to international shipments.

Economy

If speed is not a problem for you, select Australia Post’s International Economy option. It is ideal for items worth up to $100. But, you can always buy additional coverage by paying extra.

There are two options within Economy namely Economy Air and Economy Sea. Naturally, Economy Air is faster and more expensive than Economy Sea.

The maximum weight limit is 500g and 2kg for letters and parcels respectively. Hence, the Economy Air option is best for lightweight mail.

Australia Post international parcel postage rates start at $8.90. The postage for sending letters is relatively cheaper and starts at $2.50.

You can pay a little extra and avail of the Signature on Delivery service.

If your letters and parcels are heavier, select the Economy Sea option. This way, you are able to ship letters up to 2kg and parcels up to 20kg. The rates start at $51.95.

Standard

This option is for those people and companies that want to track their mail. Again, choose this service only when you don’t need to mail something urgently.

You get coverage of up to $100 with this option which you can increase by paying more. For important mail, add the Signature on Delivery option for an added fee.

The weight limit to send mail via the International Standard option is 20kg.

You can lodge your mail items at a post office or a red street post box. The rates start at $15.20. You can either use Australia Post’s standard packaging or BYO packaging.

Express

For speed and free tracking, choose Australia Post’s International Express service. You also need not pay anything extra for availing of the Signature on Delivery option. 

It is the best choice for sending urgent letters and parcels. You can send letters weighing up to 500g and parcels weighing up to 2kg.

Prices start at $28.50 for mailing letters and documents and $30.20 for mailing parcels. 

For packaging, you can use your own packaging materials or buy the same from a post office. If you are sending something to China, the UK, or New Zealand, buy satchels online as you may not get the same at a post office. 

• Postage rates from Australia to New Zealand start at $30.20 and goes up to $50.60 depending on the weight. 
• For mailing to the Asia Pacific, the rates range between $33.90 and $72.
• The Australia post international postage rates for sending mail to the US and Canada are between $36 and $77.70.
• Australia to UK postage rates ranges from $41.40 to $83.10.
• The Australian international postage rates for mailing to the rest of the world are between $46.80 and $99.45.

Courier

This is the fastest international mailing option offered by Australia Post. It is available at over 230 post offices across Australia. There is free tracking and Signature on Delivery included. But, you need to buy additional coverage for items worth over $100. 

You can use the International Courier option to mail letters up to 500g and parcels up to 500g. The current postage rates in Australia for this option start at $90.20 and range up to $159.45 depending on the country of destination. 

Australia Post Address Guidelines

Australia Post’s letter sorting technology is designed to read your mailing addresses electronically. So, you should write them in legible handwriting and in the correct format. 

Refer to this image to get a better understanding of where to write the mailing address. 

The postal address should only be written inside the address zone. It should contain three lines wherein the recipient’s name is written on the top line. 

Write the street address on the second last line. You can also write the locked bag or PO Box number if applicable. 

The last line should always have the city name, state abbreviation, and postcode. Print this line in capital letters without any underlining or punctuation. 

Write the country name on the next line for sending international mail.

Find below some more important tips regarding addressing:

• Always write the correct postcodes.
• Never stagger or indent address lines.
• Avoid underlining anything.
• Print using dark ink. Avoid using yellow, orange, or red ink. The preferable way is to use black ink on white paper. 
• Write the return address on the top so that your mail is returned back to you in case of failed delivery. 

Below is an example of an Australian address for your reference:

Kaleb Tonkin

10/12 Western Terrace

SOUTHPORT QLD 4215

PostGrid can help you standardize and validate your mailing addresses to ensure deliverability. 

Conclusion

Australia Post postage rates change from time to time. So, it is important to stay updated at all times. PostGrid can help you print and mail your items at affordable prices. Also, it can take care of the design and printing process.

The post Mailing Options and Postage Rates Australia appeared first on PostGrid.

source https://www.postgrid.com.au/postage-rates-australia/

How to Write Overdue Invoice Letter Templates

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A Step By Step Guide To Writing An Effective Overdue Payment Letter With Examples

There are only a few things a business organisation fears more than not getting paid on time. Overdue payments are a pain to deal with, so much so that many eventually give up and don’t even bother to send an overdue payment letter after a certain point.

“87.5% of business owners spend less than 5 hours a week chasing down payments they’re owed, due mainly to the practicalities of running their businesses” – Timelio.

But with the right tools, you don’t have to spend hours and days sending the letter for reminder for payment. And all you have to do is to create a template for your overdue invoice letter because you can easily automate the rest of your mailing process.

But first, you need to learn how to write an effective missed payment letter template. So let’s start with that.

How To Write A Letter For Reminder For Payment

Writing an outstanding payment letter may sound a little challenging. You may have all sorts of questions, such as

What should be the tone of the letter?

Should I be more assertive?

What all information should I include in the letter?

And so on. Below we discuss how you can write a letter for reminder for payment. Follow these simple guidelines to write an effective payment reminder letter.

State The Purpose Of The Letter

The best way to begin the letter for payment reminder is with a standard greeting. But, make sure that you address the recipient by their Name. But chances are you already knew to do that. Once the greeting is over, you should state the purpose of your payment reminder letter. You can do this with a simple and swift sentence like

“We are writing this letter regarding the nonpayment of your last invoice.”

There are several benefits of getting straight to the point like this. For instance, it shows your strong intent. It gets the message across to the recipient without giving them a chance to ignore your overdue payment letter.

Doing so also shows the seriousness of the situation and that you mean business. Nonetheless, you should maintain a polite and professional tone throughout your message.

Provide Specifics Of The Invoice

Up next, what you need to do is detail the specifics of the invoice to the customer. There is a good chance that some of your customers deal with numerous invoices regularly. Providing the specifics of the invoice in your past due payment letter helps the customer identify which invoice you are talking about.

Here are some invoice specifics you can mention in your overdue payment letter to help the customers identify your business.

• Invoice reference number
• Payment due date
• Date of sending the invoice

Or you could always take the easy way and attach a copy of your invoice with your letter. If you are sending the letter via email, it is best to send a copy as a PDF file because they are easier to view. Furthermore, it allows the customer to match your payment reminder letter with the invoice.

The customer can check their invoice and confirm their delay in making the payment on time. And since you are re-emphasising factual information, the customer has no way of denying your claim.

Emphasise Your Availability To Answer Any Queries

Consider writing a short paragraph at the end of your letter for reminder for payment, letting the recipient know your willingness to answer any questions. It is possible that your customer is looking for some negotiation but is reluctant to ask for help.

In other words, it is for helping customers who are genuinely facing problems but has all the intention of making the payment. It is always better to have customers who respond to your overdue payment letter rather than those who conveniently ignore it.

On the other hand, it also hints that you will not drop the issue and will continue to seek your due payment. When drafting a strong letter for outstanding payment, it is essential to show the time and energy to settle your payment.

Briefly Bring Up Your Late Payment Policy

Generally, companies that receive credit payments have a late payment policy. And if you don’t already have one, it is best to create one for all purposes. It can come in handy when you write a reminder letter for payment for your organisation.

Hence, if you have a late payment policy, you must remind the customer about it on your payment reminder letter. It can help you speed up the invoice payment, even if it’s only for avoiding additional fines or extra charges.

As you can see, implementing a late payment policy for your business organisation is an excellent way to motivate on-time payments. In many cases, the sole reason for generating a response to an overdue payment letter is the overhanging consequence of the late payment fee.

Change Your Tone According To The Level Of Lateness

The tone of the payment reminder is often the point of discussion for many organisations. Companies often ponder over what tone of voice they should use on a payment reminder message. And most of them are reluctant to write up a strong letter for outstanding payment, especially when dealing with (potential) long-term clients.

The good news is that you don’t have to write a strongly worded letter unless it’s unavoidable. Maintaining a polite and professional tone when corresponding with a client is crucial. But that doesn’t mean your overdue payment letter can’t be strong and assertive.

Be as polite as you can when sending the clients the first payment reminder. But, don’t feel pressured to beat around the bush and remain straightforward throughout the letter. But if you send numerous payment reminder letters and still get no response. You should gradually pick up the pace and adopt a firmer tone, especially if the payments are late by two weeks or more.

Offer Online Payment Options

Although not extremely common, one of the reasons behind invoice payment delays is complex payment options. The last thing you want is to have payment delay issues because you couldn’t provide an easier and more convenient payment option.

And what’s a more easy or convenient way for your customers than online payment options? Providing an online payment option in your letter for reminder for payment is an effective way to speed up the payment process.

Suppose your customer missed an invoice payment by accident and is ready to pay the total amount as soon as they receive your letter. In that case, offering an online payment option in your reminder for overdue payments could be just what your customer needs.

You may include a QR Code in your payment due letter to make it even easier for the customer to make their payment.

Invoice Payment Reminder Template – Before Due Date

We are familiar with the old saying, “Prevention is better than cure.” Even though the phrase does not necessarily refer to on-time payments, the shoe fits here, and here is why. A late payment can mess up your entire workflow and may even lead to a finance shortage.

“It is estimated that 90% of small businesses are failing due to cash flow problems” – Timelio.

Most organisations send their original invoice one month before the due date. Ideally, all your customers would pay the invoice as soon as they receive it, and you will never need a payment reminder letter. But, that is far from the truth.

There are several reasons why a customer fails to make on-time payments. And believe it or not, one of the most common reasons behind late payments is by accident. Hence it is crucial to send a payment reminder letter before the due date.

Consider the following invoice payment reminder template to understand what your letter should include.

“[Name and address of the organisation you’re writing to]
[Your business’s address]
[Date]

Dear Sir/Madam,

Account No: [Your account number] Amount Due: [Enter amount]

Subject: How Is Everything? Your Payment is Due Soon.

Body:

Hi [Customer’s First Name],

We hope everything is good on your side and that you are satisfied with your [Product/Service Name].

At [Company Name], we believe in serving our customers to the best of our ability and ensuring you get the best experience.

We are writing to you as a gentle reminder that we haven’t yet received your payment for the month of [month]. But don’t worry, it is not due until [Due Date].

You can pay by the invoice by scanning the QR Code or by mailing us a cheque at [Company Address].

Please don’t hesitate to reach out to us anytime if you have any questions or need any clarification on the invoice. You can either reply to this mail or give us a call at [Phone Number].

Warmest Regards,

[Your First Name]”

Invoice Payment Reminder Template - On The Due Date

The rule of thumb you must follow when writing a missed payment letter template is to ensure that the customer receives at least one reminder before the due date. You should also try and focus on the balance your customer owes you.

However, you must maintain a friendly tone throughout your invoice payment reminder template. Your customer may be going through a financial setback at the moment. Showing even a little empathy can go a long way in establishing long-term relationships with customers and creating brand advocates.

Look at the following invoice payment reminder template to understand how you can write a payment reminder for your business.

“[Name and address of the organisation you’re writing to]
[Your business’s address]
[Date]

Dear Sir/Madam,

Account No: [Your account number] Amount Due: [Enter amount]

Subject: Your Payment is Due Today

Body:

Hello [Customer’s First Name],

We want to inform you that today is the due date for [invoice number].

If you are facing some financial difficulties, we would be happy to work out financial assistance for your firm. Please respond to this mail or ring us at [Phone Number] so that we can work out an amicable payment solution for your business.

Warm Regards,

[Your First Name]”

Invoice Payment Reminder Template - Soon After The Due Date

Sometimes, it is possible that your client replies to all your letter for reminder for payment but still does not make the payment. In such cases, there is a good chance that your client wants to remain on your good side as a reliable customer.

Or in other cases, they genuinely believe they can make the payment on time but couldn’t due to unforeseen circumstances. Then there are also situations where the client does not respond no matter what you try or how many overdue payment letters you send.

The chances are that you already know these types of clients and noticed these patterns yourself, and the process has become mundane. Hence, we suggest that you combine a well-drafted missed payment letter template with an automated print-and-mail API solution like PostGrid. Here is what one of our clients has to say about our print and mail service.

“We were looking for a solution to outsource and automate our process of mailing welcome letters to our customers. We previously had two dedicated people printing the postage label, stamping it manually, stuffing the mail, and dropping it off at the postal office. PostGrid helped us eliminate the manual process with their automation and API solution, now sending all mails smoothly.”

– Director of IT and Operations

However, even with an advanced software solution, you still need an overdue invoice reminder template like the one below.

“[Name and address of the organisation you’re writing to]

[Your business’s address]

[Date]

Dear Sir/Madam,

Account No: [Your account number] Amount Overdue: [Enter amount]

Subject: Your Invoice #[Invoice Number] is Overdue

Body:

Hello [Customer’s First Name],

We hope you are doing well. This letter is to notify you that we are still waiting for you to settle your accounts for invoice number [Insert Invoice Number] dated [Insert due date].

Since the due date for your purchase has already passed, your account balance with us has now become overdue.

But no worries, you don’t have to pay any additional fee or fine as per the late payment policy you signed.

We have taken the liberty to attach your invoice with this mail in case you have lost it.

You can make your payment by scanning the QR Code, going to this link [Link], or mailing us a cheque at [Company Address].

In case you have any questions regarding the invoice or want to discuss other payment options, you can always reach out to use [Phone Number]

Warm Regards,

[Your First Name]”

Invoice Payment Reminder Template - One Months Overdue

After the initial barrage of letter for reminder for payment, it is better not to contact your customers for a while. This strategy is the better approach for interacting with delinquent accounts. And this applies not only to postal mail letters but to all forms of communication, including text and email messages.

If there is no response or invoice payment even after a month past the due date you may want to write a more assertive payment reminder letter. Here is a missed payment letter template to help you get started.

“[Name and address of the organisation you’re writing to]

[Your business’s address]

[Date]

Dear Sir/Madam,

Account No: [Your account number] Amount Overdue: [Enter amount]

Subject: Your Payment is 30 Days Overdue.

Body:

Hello [Customer’s First Name],

We have tried reaching out to you several times over the last 30 days to discuss the overdue payments for invoice # [Invoice Number].

We are again writing you this letter to let you know that your payment is now 30 days past due.

You can make your payment by scanning the QR Code, going to this link [Link], or mailing us a cheque at [Company Address].

If you have not yet received any of our previous mailers, please let us know. We would also prefer to get a response to this mail so that we know you have received it.

Regards,

[Your First Name]”

Invoice Payment Reminder Template - Last Effort Before Sending To Collections

After about two or three months of radio silence from the client, you can start getting serious about your payment reminder letter. At this point, you should consider involving the collection agency. Suppose a client refuses to pay even after three months, including the grace period of one month after sending the original invoice.

In that case, expecting the payment from them is a lost cause. But, before you give your account case to a collection agency, you should send one last mail to let them know what is going to happen to their account. The letter for reminder for payment should look something like the following.

“[Name and address of the organisation you’re writing to]

[Your business’s address]

[Date]

Dear Sir/Madam,

Account No: [Your account number] Amount Overdue: [Enter amount]

Subject: Your Payment is 30 Days Overdue.

Body:

[Customer’s First Name],

This letter is our final notice to inform you that your account with us will be reported as a delinquent account to the collection agency unless you make the payment within 15 days of receiving this notice.

We have tried several efforts to get in touch with you about your 90-day overdue invoice #[Invoice Number]. But we have not received any response from you yet.

We are duty-bound to inform you that you may incur additional interest charges on your account as per the agreement you signed with us.

In case you have any questions you can contact us at [Phone Number] between the hours of 8 am – 5 pm.

Regards,

[Your First Name]”

Conclusion

Above, we discussed how you could create an effective overdue payment letter and even saw some examples you could use for your business. One thing you can note about the payment reminders is that you must send them regularly.

And when you deal with numerous cases of overdue payments, it becomes increasingly difficult to manage your communications. However, with the help of PostGrid’s automated print and mail solution, you can easily send letters for reminder for payments to numerous clients.

Furthermore, PostGrid offers advanced features like scheduled and triggered mail, which lets you streamline your communications. You can go further by combining our print and mail solution with our address verification API to maximise the deliverability of overdue payment letters.

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The post How to Write Overdue Invoice Letter Templates appeared first on PostGrid.

source https://www.postgrid.com.au/tips-to-write-overdue-invoice-letter/