The repossession process will begin with creditors’ payment reminder you of the debts you owe. This is an important step because you will find out what you owe as well as when you have to pay it off.
This means that the lender who gave you the property in the hope that you would pay it back over time will send you a notice stating that you have not made any of your payments on time. This will cause your payments to move into arrears. Consequently, your debts will be legally past due and will accumulate over time until they are paid off.
You should make every effort to contact the lender you work with once your debts have become arrears. This should be done as soon as possible as the lender may want to continue repossession if arrears become too high.
Once you have reached this stage and have been reminded about payments, you will need to send a letter to the creditor to whom you owe money. Write down all the information you have and any details that are missing. It is important to explain why you didn’t receive the payment on time. To confirm that the letter was received by the lender, you will need to sign the letter.
To stop the repossession process at its initial stage, you will now have two options available to you. Paying off all your arrears with one payment may be possible. Using this, you can ensure that no payments are late and that all your outstanding bills are paid. Now you can focus on the remaining payments you will need to make on your mortgage.
Another option is to work with your creditor to arrange for your payments to be made over time. It is possible to set up a plan that will allow you to manage your arrears or payments over several months. Although this may take some time, many creditors will be willing to work with you because they know that they will get their money.
If you fail to pay your late payments, the creditor will initiate a process in which your data will be sent to their solicitors. The legal process for the repossession will start at this point. You will receive a letter from the creditor stating that a court order has been issued to repossess your property and that it is currently pending.
During repossession, payment reminder are essential. This is the first part of the process. You will be notified that your property could be repossessed. It is still possible to work to reach a settlement to pay off the outstanding debts. This will prevent you from being forced to sell your home.
Automated payment reminders may have many benefits for your business
Save More Time
Automated reminders can save time that could be used to increase your online presence or other high-value activities. It is tedious to send out payment reminders for payment manually. This can all be automated using current technology.
Save Money
Invoicing takes time. Let’s face it; most business owners don’t have the skills to be accountants. 60% of small-business owners feel they don’t know enough about finance and accounting.
This is because administrative work is often outsourced or wasted time is taken up. Automating payment reminders can help reduce administrative labour time and labor costs.
Extra Revenue-Late Fees
An overlooked benefit of automated payment reminders is the ability to charge late fees. Modern e-invoicing software allows you to add late fees to invoices that are past due by a certain number of days.
Although late fees may not be ideal, they are an excellent way to generate additional revenue. Automated payment reminders allow you to add your payment terms and conditions to your communications, so customers are aware. You can encourage positive payment behaviour by reducing late fees.
