They write you at the Union Hotel, Columbus, telling you of the foregoing letter, a copy of which they enclose, and asking you to investigate the standing of Messrs. Lee and Watkins.

Reply that you visited the drug store in question on a Tuesday (give date), because in your experience the early part of the week is very quiet in the business of small towns. Say that two clerks were kept busy constantly and that several people spoke of the enormous business done on Sat.u.r.days and market days.

The firm has good credit in the town. You are satisfied that the gentlemen in question are reliable.

3. Write from Pierce, King & Co. to Messrs. Lee and Watkins, acknowledging the receipt of their letter ---- (date) and expressing pleasure in being able to enter their name on the firm's books. Write as courteous a letter as you can.

4. Imagine that the salesman's reply (2) had been unfavorable. Write to Messrs. Lee and Watkins, refusing them credit but trying to get their cash business.

=Exercise 230--Letters Requesting Payment=

It is better not to make threats in a collection letter except as a last resort, and then the threat should be carried out. It is advisable in a first letter of the kind to take for granted that a customer is honest and that the failure to pay is an oversight. If some inducement for further purchases is included in the letter in the form of good selling talk, a remittance will probably be sent, and perhaps another order as well.

If the customer, however, takes no notice of the first letter, a second, making the request for payment more urgent, may follow. The tone of the second letter and subsequent letters will depend on the value that you put on the customer's trade. Finally, if he ignores all of these letters, dally no longer. Say that if payment is not made by a certain date, you will draw on him at sight. If he does not honor the draft, put the matter in the hands of your attorney.

Study the following letters. Select from them those that you think would make a good series:

1

Dear Sir:

Ten days ago we mailed you a statement of your account, which was due at that time. As we have heard nothing from you, we have concluded that the letter must have miscarried. We are, therefore, enclosing a duplicate of the former statement. We trust that it will reach you safely and have your prompt attention.

Yours very truly,

2

Dear Sir:

Evidently you, too, are experiencing the increase in business that our customers in general are reporting.

In the rush of orders you probably have overlooked the fact that your account with us is three weeks over-due. Your remittances. .h.i.therto have been very prompt, and we trust that this reminder will be treated equally promptly.

By the way, have you found that the Holeless Socks are coming up to our guarantee? From all parts of the country we are getting flattering reports in the form of big orders. We feel that they merit their popularity, and with the extensive advertising campaign that we have inaugurated they are bound to continue in favor.

We are especially prepared at present to give you an attractive price, enabling you to realize large profits on these socks. If you need more of them, we can make shipment at once.

Yours very truly,

3

Dear Sir:

In looking over our accounts, we find that your purchases have lately been increasing considerably and that your payments have been few and unimportant.

Statements have been sent regularly, we believe, but have probably been overlooked because of the stress of your other affairs. Such things, of course, can happen with any of us, especially when we have many other matters to look after.

We have always valued your account, and we greatly desire our pleasant relations to continue. As the amount that you owe us is now long over-due, we would appreciate your returning the enclosed bill to be receipted during the next few days.

Yours very truly,

4

Dear Sir:

Your attention has twice been called to your account for $----, but for some reason you do not reply to our letters.

Our terms, as you know, are thirty days, and we cannot allow a longer extension except by special arrangement. We have borne the matter very patiently, realizing that unusual conditions sometimes prevent one's doing as he desires. At the same time, it is entirely out of reason that your account should still be owing at this time. May we not expect your remittance by return mail?

Should we not hear from you by the 15th, we shall draw on you, and, if you have not remitted in the meantime, please provide for our draft upon its arrival.

Yours truly,

5

Dear Sir:

On March 15 we drew on you for $250. Our draft has been returned to us by the Blank Bank, unpaid.

Your account is long past due, and, although we are willing to do almost anything to accommodate our customers, we feel that in your case the time for concessions has pa.s.sed. We desire your check at once for the balance due us.

You are credited with using considerable money in your business, and it would seem that you should without difficulty be able to take care of amounts such as you owe us. If we do not hear from you by April 1, we shall send a second draft. If you permit this to be returned unpaid, we shall be compelled to take action to force collection. We wish to express the hope, however, that you will not allow this to be done.

Yours truly,

=Exercise 231=

Letter (2) above is written primarily to get a check for the over-due account and incidentally to get another order. Suppose that the customer sends an order and no money. You do not wish to extend further credit until the old balance is paid. Write a tactful letter, saying that you will hold back the order until you receive a check to pay the over-due account.

=Exercise 232=

Write the letters in the following transaction:

1. J. F. Brookmeyer, Peru, Ind., is a dealer in shoes.

He opened an account with you a month ago. He has purchased shoes to the amount of $250. You rendered an account on the first of the month, two weeks ago.

Write a letter saying that you do not carry over accounts from month to month, as your small margin of profit makes it impossible for you to carry an irregular account. Make it a courteous sales letter as well as a collection letter.

2. J. H. Brookmeyer sends a certified check for the full amount, apologizing for the delay.

=Exercise 233=

1. John R. Phillips, 32 New York Building, Seattle, Washington, owes you $470. Write him, saying that you need the money. Give a good reason. Make it a courteous, friendly letter.

2. Mr. Phillips has not answered (1). Write him again, saying that if you do not get a remittance by ----, you will draw on him at sight.

3. Your bank notifies you that your draft has been returned unpaid. Write Phillips, asking for an explanation. Say that unless you hear by ----, you will bring suit.