The Longer You Wait To Collect Debts, the Greater Your Losses
By Eugene Peterson
Have you noticed that it’s getting harder and harder for people and companies to pay their debts, especially money owed to you? If you haven’t done so already, NOW is the time to make a concerted effort to collect money due you. The accumulations of market conditions have created an uncertainty in the availability of cash as we move into 2009. The longer you wait to collect your debt, the more difficult it’s going to be to collect your money, particularly old debt. Currently, 71 percent of American families own their own home, compared with a past 30 year history of 60 percent ownership. Easier qualification requirements allowed people with marginal means and credit the “flawed” blessing of newfound homeownership. This set up the market, as evidenced, for catastrophic failure. As of this writing, only four percent have defaulted on their home loans with more foreclosures expected. Yet this small percentage has impacted the economy by turning the financial world upside down with a significant impact on liquidity. Even with a bailout, easy credit and available cash is a thing of the past. When people don’t have cash and can’t get loans, the economy freezes and they have trouble paying their debts. More than ever now is the time to RETHINK and IMPLEMENT your Strategic Plan. (If you don’t have one – get one – I can help.) And a significant part of that plan should be to get tough and exercise a strong strategy to collect money owed to you.