In today's fast-paced business environment, it's essential to have effective strategies in place for managing overdue payments.
Payment reminder text messages have become a convenient and direct way to communicate with customers and gently remind them about outstanding invoices.
Here are five overdue payment reminder text message templates that you can adapt to suit your business's needs.
Main benefits of sending a payment reminder sms
There are several key benefits to sending a payment reminder SMS:
Convenience
SMS messages are a convenient and direct way to communicate with customers. They can be read on any mobile device, making them accessible to customers on the go. This convenience factor is particularly important in today's fast-paced world, where customers appreciate quick and easy ways to manage their finances.
Timely
SMS messages can be sent immediately, ensuring that customers receive a reminder about their overdue payment promptly. This timeliness is crucial in preventing late payments and ensuring a smooth cash flow for businesses. By sending payment reminders promptly, businesses can increase the chances of receiving payment on time.
Effective
Studies have shown that SMS messages have a high open rate, making them an effective way to reach customers. This high open rate is attributed to the fact that SMS messages are often perceived as personal and urgent, capturing the attention of customers more effectively than other forms of communication.
Personalized
SMS messages can be personalized with the customer's name and invoice details, making them more likely to be read and acted upon. Personalization is a powerful tool in marketing and customer engagement, and it can be used to create a more positive and memorable experience for customers when receiving payment reminders.
Affordable
SMS messages are a relatively affordable way to communicate with customers, especially when compared to other methods such as phone calls or letters. This cost-effectiveness makes SMS payment reminders a viable option for businesses of all sizes, allowing them to reach their customers without breaking the bank.
When to send a payment reminder via a text message
Sending timely can increase the chances of receiving payment on time and maintain a healthy cash flow. Here are some key considerations for determining when to send a payment reminder via text message:
After the due date
Once the invoices' due date has passed, it's appropriate to send a gentle reminder to the customer. This initial message should be polite and professional, simply reminding the customer of the outstanding payment and providing the necessary invoice details with a payment link.
One week after the initial reminder
If the customer has not responded to the initial reminder, you can send a follow-up message. This message should be more direct, emphasizing the importance of timely payment and the potential consequences of late payment, such as additional late payment fees or interest charges.
Two weeks after the initial reminder
If the customer still has not responded, you may consider sending a final reminder before taking more serious action. This message should be firm but professional, outlining the specific actions that will be taken if payment is not received promptly.
3 payment reminder text message samples
To help you get started sending effective SMS payment reminder messages, here are three samples with different tones to act as a foundation for your own reminders:
Debt collection text messages sample 1
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Dear [Customer Name], I am writing to gently remind you about the outstanding invoice [Invoice Number] for [Amount Due] that x days overdue. The due date for this invoice was [Due Date], and we have not yet received payment. We understand that sometimes payments can be delayed, but timely payment is essential for us to continue providing our services to you. To make a payment, please visit our website [Website URL] or contact our Accounts Receivable department at [Phone Number]. Sincerely, [Your Name] |
Payment reminder text message sample 2
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Hi [Customer Name], Just a friendly reminder about your outstanding invoice [Invoice Number] for [Amount Due]. We understand that things can get busy, but timely payment helps us keep our services running smoothly. You can make a payment through our website [Website URL] or by calling our Accounts Receivable department at [Phone Number]. Thank you for being a valued customer! Best regards, [Your Name] |
Overdue payment reminder text message sample 3
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Hi [Customer Name], This is a quick reminder about your outstanding invoice [Invoice Number] for [Amount Due]. The due date for this invoice was [Due Date], and we have not yet received payment. To make a payment, on your outstanding balance, please visit our website [Website URL] or contact our Accounts Receivable department at [Phone Number]. Thank you for your attention to this matter. We appreciate your business and look forward to resolving this issue promptly. Sincerely, [Your Name] |
Early payment reminder text message sample 4
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Dear [FIRST NAME] Your invoice for [amount] is due by [due date]. Please click [payment link], call us on [your phone number] or email us to pay. [Your business name] |
Early payment reminder text message sample 5
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Your invoice for [amount] is overdue by [overdue days]. Please click [payment link] or call us on [your phone number] to pay. Thanks, [Your business name] |
Free customizable payment reminder text message template
To give you as much of a head start as possible, the credit control experts at Chaser have created an 20 editable, polite SMS payment reminder message templates that you can customize to fit your own business needs:
How to write an effective outstanding payment reminder SMS: 4 best practices
When sending SMS reminder messages, it's important to follow certain best practices to ensure they are effective and well-received by customers. Here are a few key guidelines to keep in mind:
- Be clear and concise: Your message should be short and to the point, ideally no longer than 160 characters. Avoid using jargon or overly formal language that might confuse the customer. Get straight to the point and remind the customer about the outstanding payment.
- Send a personalized message: Include the customer's name and the invoice number in your message. This will make the reminder more relevant and personal, increasing the chances that the customer will take action. For example, "Hi John, a reminder that invoice #12345 for $100 is past due. Please make a payment as soon as possible."
- Provide clear instructions: Tell the customer how they can make a payment, whether it's through your website, mobile app, over the phone, or in person. Provide specific instructions for using your chosen payment methods, such as the website URL or phone number, to make it as easy as possible for the customer to make a payment.
- Be polite and professional: Even though the payment is overdue, your message should still be polite and professional. Avoid using aggressive or threatening language, as this could alienate the customer and make them less likely to pay. Instead, use a friendly and respectful tone, such as "We understand that things can get busy, but we would appreciate it if you could make a payment as soon as possible."
FAQs
The credit control experts at Chaser have collected and answered the most common questions on how to remind someone to pay you through text:
Is it legal to send payment reminders via SMS?
Yes, it is generally legal to send payment reminders via SMS in most jurisdictions. However, there are some important considerations to keep in mind:
- Consent: In many countries, you must obtain the recipient's consent before sending them marketing or promotional messages via SMS. This consent can be obtained through a variety of methods, such as a checkbox on a website or a sign-up form.
- Frequency: You should not send payment reminders too frequently. A good rule of thumb is to send no more than one reminder per week.
- Content: The content of your payment reminder should be clear and concise, and it should avoid using aggressive or threatening language.
- Opt-out: You must provide recipients with an easy way to opt out of receiving payment reminders via SMS. This can be done by including an unsubscribe link in your message or by providing instructions on how to contact you to opt out.
If you are considering sending payment reminders via SMS, it is important to consult with legal counsel to ensure that you are in compliance with all applicable laws and regulations.
What if your payment reminder SMS goes unanswered?
When chasing outstanding invoices, politeness and persistence are crucial. A friendly SMS reminder should be the initial contact, and the message should be concise, clear, and personalised.
Offering multiple payment options and understanding customers' situations can help resolve issues. If necessary, persistent reminders can be sent without resorting to aggressive or threatening tactics.
What are the most common reasons for late payments?
Common reasons for late payment on overdue invoices include:
- Forgetfulness: Customers may simply forget to pay their bills on time, especially if they have a lot of other bills to manage.
- Financial hardship: Customers may be experiencing financial difficulties and may not have the money to pay their unpaid invoices.
- Lack of awareness: Customers may not be aware of the due date for their bill or may not have received their bill in the mail.
- Billing errors: Customers may dispute the amount of their bill or believe that they have already paid it.
- Payment processing delays: There may be delays in processing payments, such as when a check is lost in the mail or an electronic payment is not processed correctly.
- Cash flow problems: Businesses may experience cash flow problems that make it difficult to pay their bills on time.
- Intentional non-payment: Some customers may intentionally choose not to pay their bills on time, either as a form of protest or because they believe they can get away with it.
Automatically personalize your SMS payment reminder sample messages
The SMS payment reminder samples in this guide cover a variety of invoice-chasing situations whilst remaining polite and professional. These “best practice” templates were developed by Chaser, the market leader in accounts receivables automation, which has been supporting businesses with payment chasing since 2014 and has helped businesses worldwide chase and recover over USD 30 billion in late payments.
When you use Chaser's accounts receivables software, the above SMS reminder samples can be pre-loaded onto your account. Placeholder (i.e. [square bracket]) fields are automatically personalized for each recipient. This means every payment reminder looks like it has come directly from you.
You can customize SMS messages with automatic ‘placeholder' personalization fields (like business name, due date, invoice amount) and use fully editable SMS templates that reflect your normal language and style of communication with customers. View the full benefits and capabilities of SMS reminders in Chaser in this fact sheet, or try it for free for 10 days.
