How Do I Send an Invoice Reminder for an Unpaid Invoice?

Sending an invoice reminder for an unpaid invoice is a common business practice. It helps ensure that your customers know their outstanding payments and encourages them to settle the invoice promptly.

Here’s a step-by-step guide on how to send an invoice reminder:

Review your records: Double-check your records to confirm that the invoice is overdue and has not been paid.

Determine the ideal timing:

Consider the terms of your original invoice and any applicable late payment policies. Decide on an appropriate timeframe for sending the reminder. Typically, it’s recommended to send the first reminder a few days after the payment due date.

Choose your communication method:

Decide whether you’ll send the reminder via email, physical mail, or through your accounting software. Email is often the most efficient and convenient option.

Compose a polite reminder message:

When writing the reminder, keep it polite, professional, and concise.

Include the following key elements:

• Reference details: Include the invoice number, date, and the total amount due to help the recipient identify the specific invoice you’re referring to.
• Reminder purpose: Clearly state that the purpose of the email is to remind the recipient about an unpaid invoice.
• Invoice details: Recap the details of the invoice, including the due date and the payment amount.
• Request for payment: Politely ask the recipient to settle the outstanding balance and provide payment methods.
• Contact information: Include your contact details and encourage the recipient to reach out if they have any questions or concerns.
• Attach supporting documents if necessary: If there are any relevant documents, such as a copy of the original invoice or a payment receipt, attach them to the email for reference.

Follow up with reminders:

If the payment remains outstanding after the initial reminder, you may need to send subsequent reminders. Be sure to space them out appropriately and adjust the tone slightly to convey increasing urgency while maintaining professionalism.

Automate reminders if possible:

If you’re using accounting software or an invoicing tool, consider setting up automated reminders that will be sent at predetermined intervals. This can save you time and ensure consistent follow-up.

If all else fails!

If you still have no response, then sign up to Payment Check and use the ‘Email Reminder’ option. 88% of invoices get paid within tree days of a Payment Check email reminder!

Remember, maintain a positive relationship with your customer. While you want to collect the payment, it’s important to approach the situation professionally.

Invoice Reminder FAQ

What is an invoice reminder?

An invoice reminder is a notification sent to a customer informing them that an invoice is past due and payment is still outstanding.

When should I send an invoice reminder?

An invoice reminder should be sent as soon as a payment is past due. Many businesses send a first reminder a few days after the payment is due, and follow up with additional reminders at regular intervals until payment is received.

What should I include in an invoice reminder?

An invoice reminder should include the following information:

• The original invoice number and amount due
• The date the payment was due
• The new total amount due (if any late fees have been added)
• The payment methods available (e.g. online payment, check, etc.)
• A clear call-to-action for the customer to make payment

How should I send an invoice reminder?

An invoice reminder can be sent via email, mail, or phone call. Email is often the preferred method as it is fast, easy, and allows for tracking of communication.

What should I do if I still don’t receive payment after sending reminders?

If you still don’t receive payment after sending one or more reminders, you may need to escalate the issue to a debt collection agency or consider legal action.

Can I automate invoice reminders?

Yes, many accounting software programs offer the ability to automate invoice reminders, which can save time and ensure consistent follow-up.

Is there a specific tone I should use in an invoice reminder?

While it’s important to be firm and clear in your communication, it’s also important to maintain a professional and respectful tone. Avoid using aggressive or confrontational language, and always assume the best intentions of the customer.