Article, Bad Debt and Credit Management - Credit Management Source

Here Are the Distress Signals Private Firms Flash When They Are in Trouble

Your Virtual Credit Manager

APRIL 8, 2025

If you are extending credit to other businesses, it’s high time you began watching your customers closely for late payments and other signs of distress. The Imperative to Keep Past Due Balances in Check A key objective of Accounts Receivable (AR) management is minimizing past due AR to ensure cash in-flows and minimize bad debt losses.

Bad Debt

Bad Debt Bankruptcy Accounts Receivable (AR) Credit and Collections

Storm Warning: Private Company Red Flags

Your Virtual Credit Manager

JANUARY 14, 2025

The Customer Delinquency Challenge Successful accounts receivable (AR) management involves minimizing past due balances to ensure steady cash in-flows and limit bad debt losses. Customer defaults can be devastating , especially when they cause a substantial bad debt loss. Do you need help improving cash flow?

Bad Debt

Bad Debt Bankruptcy Credit and Collections Accounts Receivable (AR)

A Focus on Collections & Credit Fraud

Your Virtual Credit Manager

DECEMBER 31, 2024

In our case, we found a continued interest in collection technique and strategy, as well as in fighting credit fraud. What follows is a summary of the three most read article for the 12 months ending in October 2024, and links to the originals. For more detail on this subject, here’s the link to the original article.

Collector

Collector Credit and Collections Bad Debt High-Risk Accounts

After the Credit Application: Getting to Know Your Customers Even Better

Your Virtual Credit Manager

FEBRUARY 18, 2025

(Photo by Markus Spiske on Unsplash ) When there are time constraints that forestall additional research, denying credit or requiring collateral or some other security is the best way to avoid a decision that results in delinquency and a potential bad debt loss. Your Virtual Credit Manager is a reader-supported publication.

Credit Application

Credit Application Credit and Collections Bad Debt High-Risk Accounts

5 Accounts Receivable Collection Mistakes You Should Avoid

Gaviti

NOVEMBER 21, 2024

Eliminate the Errors from Accounts Receivable Many of the mistakes talked about in this article can be better managed and even eliminated with Gaviti, accounts receivable automation solution. Credit management and monitoring. Want to learn more? Schedule a product demo.

Automated Cash Application

Automated Cash Application Credit and Collections Cash Applicator Deductions

Avoid these Six Collection Myths

Your Virtual Credit Manager

MARCH 14, 2023

Here’s an article on overcoming collection excuses. When a customer is in financial distress, being a good negotiator is an asset, but more important is the ability to come up with a payment plan that will clear up the debt, or at least begin reducing your firm’s exposure in the short term.

Collector

Collector Past Due Invoices Bad Debt Credit and Collections

Use Credit Holds to Better Manage Your Accounts Receivable

Your Virtual Credit Manager

JANUARY 2, 2024

If collections are not done properly and in an adequate frequency , your AR will age, cash flow will decrease, and the risk of bad debt loss will increase. Photo by Kai Pilger on Unsplash ) We have written several articles on collections, which you can find in our archive. To learn more, you will need to be a paid subscriber.

Bad Debt

Bad Debt Credit and Collections Accounts Receivable (AR) Credit Management

Accelerate Cash Flow with an Early Pay Discount

Your Virtual Credit Manager

SEPTEMBER 5, 2023

Starting in October, free subscribers will only receive the introductory section of our weekly articles. Plus, you get full access to our growing archive of over 100 articles! Assuming the supplier has a line of credit, the longer a customer delays payment the more interest the supplier has to pay the financial institution.

Bad Debt

Bad Debt Credit and Collections Accounts Receivable (AR) Default

Balancing Credit Sales with Profits

Your Virtual Credit Manager

NOVEMBER 14, 2023

(Photo by Aziz Acharki on Unsplash ) Because Credit Policy is a part of Sales Policy, how you manage credit impacts company profits. How then does your Credit Policy affect your overall profitability? It affects the level of bad debt loss (uncollected Accounts Receivables) you suffer.

Credit Sales

Credit Sales Bad Debt Credit and Collections Credit Risk

Are Early Payment Discounts a Good Idea in Today’s Economy?

Your Virtual Credit Manager

FEBRUARY 28, 2023

Your Virtual Credit Manager (YVCM) previously published an article discussing the pros and cons of Prompt Payment Discounts. The reduction in revenue and margin, while painful, will be a smaller price to pay than a large drop in incoming cash and the higher risk of a larger, damaging, bad debt.

Bad Debt

Bad Debt Accounts Receivable (AR) Credit Risk Bankruptcy

The Imperative for Prioritizing Collections

Your Virtual Credit Manager

OCTOBER 15, 2024

As a consequence, commercial accounts receivable (AR) portfolios are at an increasing risk of suffering bad debt losses. The immediate precursor to bad debts is increasing percentages of delinquent receivables, especially in the over 60 and 90 day aging categories. Commensurate with that, the Federal Reserve Bank of St.

Chapter 11

Chapter 11 Bad Debt Bankruptcy Accounts Receivable (AR)

Is Your AR Generating All the Cash Flow It Should?

Your Virtual Credit Manager

SEPTEMBER 12, 2023

Starting in October, free subscribers will only receive the introductory section of our weekly articles. Plus, you get full access to our growing archive of over 100 articles! Poor Credit Management' We’ve already talked about how poor credit decisions can impact sales and collections. Offer ends 9/30/23.

Credit and Collections

Credit and Collections Bad Debt Accounts Receivable (AR) Deductions

Due Diligence Doesn't End with the Credit Application

Your Virtual Credit Manager

JANUARY 23, 2024

The experts at Your Virtual Credit Manager are ready to help you improve cash flow and reduce AR risks during these challenging times. Consequently, the credit manager was able to purchase credit insurance on his customer, and was therefore able to continue approving credit sales, within limits, to the chain store customer.

Credit Application

Credit Application Bad Debt Bankruptcy Credit Scoring

AR Data Management, AR Automation, & Accelerating Cash Flow

Your Virtual Credit Manager

JANUARY 3, 2023

Photo by DESIGNECOLOGIST on Unsplash Editor’s Note: To start off the New Year, we’re bringing back three of the most popular YVCM articles from 2023. We’ve condensed the articles to save you time, but have also provided links to the originals should you want to take a deeper dive.

AR Automation

AR Automation Collector Credit and Collections Bad Debt

Don't Leave Converting Sales into Cash to Chance

Your Virtual Credit Manager

DECEMBER 6, 2022

This software firm did not actively manage its AR. The company ended up writing off millions of dollars in bad debt. In addition, bad debt and concession expenses decreased by several million dollars annually. For this company, and for most companies in B2B markets, managing AR is an important function.

DSO

DSO Credit and Collections Bad Debt AR Aging

Evidence It's Time to Adjust Your Collection Practices

Your Virtual Credit Manager

AUGUST 29, 2023

Use the following formula to determine your CEI: (Beginning receivables + Monthly credit sales - Ending total receivables) ÷ (Beginning receivables + Monthly credit sales - Ending current receivables). Bad Debt Write-Offs Are Increasing: When bad debts get ahead of budget, you need to take a look at why that is happening.

DSO

DSO Credit and Collections Bad Debt Collection Effectiveness Index

Red Flags that Demand Your Attention

Your Virtual Credit Manager

JUNE 13, 2023

These bad debt losses can put your own business at risk of failure. Sound Credit and Collection practices will help you navigate the impact of these risks. Also, credit limit increases can be required when a customer’s business is expanding. Far more damaging is a customer that defaults (never pays).

Credit and Collections

Credit and Collections Bad Debt Default Credit Risk

Effective Strategies For Managing Credit Risk In Your Business

Know-It Global

APRIL 26, 2023

Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure. In this article, we’ll explore effective strategies for managing credit risk in your business.

Credit Risk

Credit Risk Bad Debt Credit and Collections Default

Debt Collection Mistakes Can Prove Costly

Your Virtual Credit Manager

JANUARY 16, 2024

The experts at Your Virtual Credit Manager are ready to help you improve cash flow and reduce AR risks during these challenging times. Readers of Your Virtual Credit Manager can access sharply discounted business credit reports from D&B, Experian, or Equifax through our partner accredit.

Debt Collections

Debt Collections Collector Credit and Collections Bad Debt

Resolve to Be More Proactive in 2024

Your Virtual Credit Manager

JANUARY 9, 2024

Two weeks ago we recapped the three most read articles from 2023: identifying red flags, understanding why customers pay late, and the secrets of successful collectors. Then last week we looked at credit hold best practices. From a credit management perspective, these are largely reactive topics.

Credit and Collections

Credit and Collections AR Aging Accounts Receivable (AR) Deductions

Effective Strategies to Reduce Debtor Days

Know-It Global

JULY 26, 2023

Efficient management of debtor days is crucial for businesses seeking to maintain a healthy cashflow. In this article, we’ll outline 15 actionable steps that can help you significantly reduce debtor days and optimise your cashflow! Well-trained employees contribute to a streamlined credit control process.

Electronic Funds Transfer

Electronic Funds Transfer Credit and Collections Debt Collections Bad Debt

The Alarming Trend of Rising Company Insolvencies

Know-It Global

APRIL 19, 2023

Supply chains threatened by soaring insolvencies Recent data has revealed the average bad debt for UK SMEs is £16,641, a spike of 61% in a year! Bad debts If the insolvent company owes you money, you may not be able to recover the debt, or you may only receive a fraction of what you are owed.

Bad Debt

Bad Debt Credit and Collections Credit Risk Credit Management

Customer Stops Paying; Now What?

Your Virtual Credit Manager

SEPTEMBER 19, 2023

Starting in October, free subscribers will only receive the introductory section of our weekly articles. Plus, you will get full access to our growing archive of over 100 articles! From this conversation, you will learn how perilous the bad debt risk is with this customer, and how urgent your reaction must be.

Credit and Collections

Credit and Collections Default Bad Debt Credit Risk

Demystifying Customer Credit-Worthiness

Your Virtual Credit Manager

MARCH 28, 2023

This is because the higher your profit margins the fewer sales it will take to compensate for any bad debt losses. As your production pipeline approaches full capacity, the fussier you can be about who you grant open credit terms. Need help setting credit policies and procedures? it just might help them pay you sooner!

Credit Scoring

Credit Scoring Credit Application Bad Debt Credit Risk

Key Advantages of Autonomous Finance in A/R Collections

Gaviti

OCTOBER 30, 2023

In this article, we explore the advantages of autonomous finance, especially as it relates to accounts receivable, and at what point your company should consider employing them, so you can decide if it’s a worthwhile investment for your business. Your financial staff has rates of high turnover.

Days Sales Outstanding

Days Sales Outstanding Invoice Collections Credit and Collections DSO

product-news-post-1

Know-It Global

MAY 8, 2023

Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure. In this article, we’ll explore effective strategies for managing credit risk in your business.

Bad Debt

Bad Debt Credit and Collections Credit Risk Default

Product-NEWS-2 – Effective Strategies For Managing Credit Risk In Your Business

Know-It Global

MAY 8, 2023

Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure. In this article, we’ll explore effective strategies for managing credit risk in your business.

Credit Risk

Credit Risk Bad Debt Credit and Collections Default

Product-NEWS – Effective Strategies For Managing Credit Risk In Your Business

Know-It Global

MAY 8, 2023

Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure. In this article, we’ll explore effective strategies for managing credit risk in your business.

Credit Risk

Credit Risk Bad Debt Credit and Collections Default

The Role of Technology in Credit Control

Know-It Global

JUNE 28, 2023

In today’s fast-paced and interconnected world, credit control has become a vital aspect of financial management for businesses. Traditionally, credit management involved manual processes and relied heavily on human intervention, which often proved time-consuming and prone to errors.

Credit Scoring

Credit Scoring Credit and Collections Bad Debt Credit Management

Maximising Cashflow: Enhancing Your Credit Control Process

Know-It Global

JUNE 5, 2023

Effective credit control is crucial for maintaining a healthy cashflow and financial stability. By implementing a well-structured credit control process, businesses can mitigate the risks associated with late payments and bad debts, ensuring a steady stream of revenue. Try-it free for 30 days !

Electronic Funds Transfer

Electronic Funds Transfer Bad Debt Credit and Collections Credit Management

Can A Robot Be A Better Debt Collector Than Us?

JSP Credit Management

OCTOBER 10, 2021

A recent article suggested that the ‘gig economy’, consisting of apps such as Uber and Airbnb employs no fewer than 1 in 10 working adults in the UK. Whilst there can be found some criticisms, the above article notes that the amount of people earning an income from these apps has doubled in recent years. That is approximately 4.7

Collector

Collector Debt Collections Credit and Collections Bad Debt

product-news-post-2

Know-It Global

MAY 8, 2023

Understanding how much credit risk a business could pose to you is critical if you want to avoid disaster! Failure to manage credit risk can lead to bad debts, cashflow problems, and eventually, business failure. In this article, we’ll explore effective strategies for managing credit risk in your business.

Bad Debt

Bad Debt Credit and Collections Credit Risk Default

The Benefits of Offering Trade Credit & How To Mitigate Risk

Know-It Global

JUNE 14, 2023

This is an arrangement where businesses extend credit to their customers, allowing them to purchase goods or services and pay at a later date. While offering credit presents certain risks, when managed effectively, it can offer numerous benefits for businesses. Know-it makes this easy by automating all of your credit management!

Credit and Collections

Credit and Collections Bad Debt Credit Risk Default

The Number 1 Reason Your Commercial Invoices Are Not Getting Paid

JSP Credit Management

SEPTEMBER 28, 2021

So a career in various credit management roles before JSP Credit Management being born of over 15 years has left us extremely well placed to pass comment on some potential causal factors affecting non-payment. So, time for the big reveal. or contact us on 01827 66820 to discuss your needs.

Credit and Collections

Credit and Collections Collector Bad Debt Debt Collections

Best Debt Collection Agency in India: MNS

MNS Credit Management Group

DECEMBER 2, 2022

The debt collection company will have complete records of each time they attempted to contact the debtor should you decide to sue the debtor in the future. You also need to have this proof for your tax records if you plan to deduct the bad debt from your income. People Pay More Quickly. Win-Win For Clients Association.

Debt Collections

Debt Collections Collector Credit and Collections Bad Debt

Financial Management Tips for Small Businesses

Eagle Business Credit

JUNE 20, 2024

Understanding Credit Terms and Managing Debt B2B transactions generally involve credit terms, where customers purchase goods or services on credit and pay at a later date. Understanding and managing these credit terms is vital for maintaining healthy cash flow and minimizing financial risk.

Small Businesses

Small Businesses Credit and Collections Bad Debt Credit Management

Around 1.8 Million Startup Companies Will Fail This Year.Are You Prepared?

Your Virtual Credit Manager

AUGUST 22, 2023

The bad news is that nearly 21 percent of last year’s startups will fail this year leaving you with a bad debt on your books if you sold to them on credit terms. After September, free subscribers will only have access to a portion of the weekly article. A major part of this effort is to add new customers.

Credit and Collections

Credit and Collections Bad Debt Credit Risk Small Businesses

Working With The V-word In Debt Collection

JSP Credit Management

APRIL 28, 2022

That same benefit led us to , an article in the FT the other day from 2010 where former Chancellor of the Exchequer George Osborne was talking about the Financial Services Authority (FSA). That, we thought, was a genuinely nice benefit, to having been a product of university life. We will get that changed!

Debt Collections

Debt Collections Bad Debt Credit Management Credit Risk

The Case for Outsourcing Collections

Your Virtual Credit Manager

DECEMBER 24, 2024

Perhaps more than any other SMB function, Accounts Receivable (AR) Management gets put on a back burner because it is nobody’s prime responsibility. The only time AR comes to the forefront is when there is economic turmoil and an increased risk of bad debt losses. Bad debt risk controlled according to your risk appetite.

Credit and Collections

Credit and Collections Collector Bad Debt Accounts Receivable (AR)

Past Due to Bad Debt: How to Segment Customers by Risk & Implement Collections Strategies that Match

Bectran

MARCH 5, 2025

The accumulation of bad debt is a massive hindrance for businesses that rely on consistent cash flow in their accounts receivable. Piling bad debt reduces your companys expected revenue and limits your ability to reinvest liquidity into business operations. The Bad Debt Spiral.

Bad Debt

Bad Debt High-Risk Accounts Credit and Collections Default

Comprehensive Guide to Writing Off Accounts Receivable (AR)

Emagia

DECEMBER 3, 2024

Introduction to Writing Off Accounts Receivable In the realm of financial accounting, managing accounts receivable (AR) is crucial for maintaining a company’s financial health. This article delves into the intricacies of writing off AR, exploring its significance, methods, and implications. Generally, no.

Accounts Receivable (AR)

Accounts Receivable (AR) Allowance for Doubtful Accounts Bad Debt Credit and Collections

Top 7 Credit Risk Management Tools in 2025

Gaviti

MARCH 11, 2025

Without proper credit assessments and checks, businesses expose themselves to significant financial risks, including cash flow disruptions and potential bad debts. In today’s dynamic financial landscape, effective B2B credit management is paramount for businesses aiming to maintain financial stability and foster growth.

Credit Risk

Credit Risk Credit Scoring Credit and Collections Credit Application

Here Are the Distress Signals Private Firms Flash When They Are in Trouble

Storm Warning: Private Company Red Flags

Trending Sources

A Focus on Collections & Credit Fraud

After the Credit Application: Getting to Know Your Customers Even Better

5 Accounts Receivable Collection Mistakes You Should Avoid

Avoid these Six Collection Myths

Use Credit Holds to Better Manage Your Accounts Receivable

Accelerate Cash Flow with an Early Pay Discount

Balancing Credit Sales with Profits

Are Early Payment Discounts a Good Idea in Today’s Economy?

The Imperative for Prioritizing Collections

Is Your AR Generating All the Cash Flow It Should?

Due Diligence Doesn't End with the Credit Application

AR Data Management, AR Automation, & Accelerating Cash Flow

Don't Leave Converting Sales into Cash to Chance

Evidence It's Time to Adjust Your Collection Practices

Red Flags that Demand Your Attention

Effective Strategies For Managing Credit Risk In Your Business

Debt Collection Mistakes Can Prove Costly

Resolve to Be More Proactive in 2024

Effective Strategies to Reduce Debtor Days

The Alarming Trend of Rising Company Insolvencies

Customer Stops Paying; Now What?

Demystifying Customer Credit-Worthiness

Key Advantages of Autonomous Finance in A/R Collections

product-news-post-1

Product-NEWS-2 – Effective Strategies For Managing Credit Risk In Your Business

Product-NEWS – Effective Strategies For Managing Credit Risk In Your Business

The Role of Technology in Credit Control

Maximising Cashflow: Enhancing Your Credit Control Process

Can A Robot Be A Better Debt Collector Than Us?

product-news-post-2

The Benefits of Offering Trade Credit & How To Mitigate Risk

The Number 1 Reason Your Commercial Invoices Are Not Getting Paid

Best Debt Collection Agency in India: MNS

Financial Management Tips for Small Businesses

Around 1.8 Million Startup Companies Will Fail This Year.Are You Prepared?

Working With The V-word In Debt Collection

The Case for Outsourcing Collections

Past Due to Bad Debt: How to Segment Customers by Risk & Implement Collections Strategies that Match

Comprehensive Guide to Writing Off Accounts Receivable (AR)

Top 7 Credit Risk Management Tools in 2025

Stay Connected