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How to Write Letters (Formerly The Book of Letters) Part 39

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The company first came to us on November 8, 1920. On that date they purchased from us 50 lawn mowers at a total cost of $500. They took advantage of the discount by paying the bill on November 18th.

In January, 1921, they gave us an order for 100 at a total cost of $900. This bill they paid in February.

Their latest purchase from us was in July, 1921. At this time their order amounted to 25 lawn mowers. They paid the bill in October after we had sent them several requests for remittance.

We trust this information will be of some value to you in determining just what amount of credit you may feel justified in extending to them.

Very truly yours, (Handwritten) _H. Plum_, Plum Brothers.

_Offering credit_

DWIGHT & DAVIS 89 PARK STREET ALBANY, N. Y.

October 9, 1922.

Mrs. Herbert Reid, 1400 Fourth Avenue, Albany, N. Y.

Dear Madam:

Whenever you wish to come in and purchase without cash, it will be a great pleasure to us to open a charge account with you.

We have made a record here in the store so that whenever you call it will have been arranged for you to purchase whatever you want.

We think you will approve of the character of service and the quality of merchandise. We wish to win not only your patronage, but your friendship for our store.

Every up-to-date woman realizes the many benefits, the conveniences, and even prestige she enjoys through having a charge account at a dependable store.

A store, in turn, is judged by its charge accounts--it is rated by the women who have accounts there.

And so, because of your standing in the community, if you avail yourself of our invitation to do your buying here, you are reflecting credit both on yourself and on us.

We hope you will decide to let us serve you--all our facilities are completely at your service.

We should like you to feel that our store is especially adapted to your needs.

Yours very truly, (Handwritten) _C. Dale_, Credit Manager, Dwight & Davis.

SUMMIT BOX COMPANY KANSAS CITY, MO.

November 13, 1923.

George Harrow & Co., 29 Fifth Street, Kansas City, Mo.

Gentlemen:

We want to thank you for your order of November 10th, with your check enclosed in full payment. We appreciate the business you have been giving us. The thought has frequently occurred to us that you may desire the advantages of an open account with us. We believe that such an arrangement will make transactions more convenient. We therefore have the pleasure of notifying you that we have noted your account for our regular credit terms of 2% 10 net 30, up to a limit of $500.

We hope that both your business and our acquaintance with you will develop to such an extent that it will be a pleasure to extend to you from time to time larger credit accommodations to take care of your increasing needs.

The business relations between us have been so agreeable that we feel they will continue so. Please remember that if we can ever be of a.s.sistance to you in helping you in your business we only ask that you call upon us.

Very truly yours, (Handwritten) _G. Harris_ Credit Manager Summit Box Company.

Collection letters may very easily be overdone. The old idea was that any expense or any threat was justified if it got the money, but among the more advanced collection departments common sense has crept in, and it has been ascertained by cost-finding methods that it is not worth while to pursue a small account beyond a certain point and that when that point is reached it is economy to drop the matter. How far it is wise to go in attempting to collect an account is an affair of costs, unless one has a penchant for throwing good money after bad.

The point to bear in mind in writing a collection letter is that it is a collection letter--that it is an effort to get money which is owed. It would not seem necessary to emphasize so entirely self-evident a point were it not unfortunately sometimes overlooked and the collection letter made an academic exercise. There is no excuse for a long series of collection letters--say eight or ten of them. After a man has received three or four letters you can take it for granted that he is beyond being moved by words. You must then have recourse to some other mode of reaching him. Drawing on a debtor is also of small use; the kind of a man who will honor a collection draft would pay his bill anyhow.

If a debtor has a.s.sets and there is no dispute concerning the account, he will usually pay. He may pay because you threaten him, but most people with the ability to owe money are quite impervious to threats, and although a threatening letter may seem to bring results, it can never be the best letter because on the other side of the ledger must be recorded the loss of the customer. The average writer of a collection letter usually gets to threatening something or other and quite often exposes himself to the danger of counter legal action. (See Chapter XI on The Law of Letters.)

The most successful collection men do not threaten. The best of them actually promote good-will through their handling of the accounts. The bully-ragging, long-winded collection letter has no place in self-respecting business. The so-called statements of collection by which papers drawn up to resemble writs are sent through the mails, or served, not only have no place in business but many of them are actually illegal.

The letters which are appended have been chosen both for their effectiveness and their courtesy. They represent the best practice. It is, by the way, not often wise for the creditor to set out his own need for money as a reason why the debtor should pay the account. It is true that the sympathy of the debtor may be aroused, but the tale of misery may lead him to extend comfort rather than aid. However, several such letters have been included, not because they are good but because sometimes they may be used.

_Collection letters_

Most firms have adopted a series of collection letters beginning with the routine card reminder of an overdue account and following with gradually increasingly personal second, third, fourth, and so on, letters.

_First letter--printed card_

THE ENCLOSED STATEMENT OF ACCOUNT IS SENT TO YOU AS WE BELIEVE YOU HAVE OVERLOOKED ITS PAYMENT.

STONE BROTHERS

_Second letter_

STONE BROTHERS NEW YORK

March 15, 1917.

Miss Grace Duncan, 146 Prospect Park West, Brooklyn, N. Y.

Dear Madam:

There appears an amount of $29.36 open in your name for the months of October to January which, according to our terms of sale, is now overdue, and if no adjustment is necessary, we trust you will kindly favor us with a check in settlement.

Very truly yours, Stone Brothers, New York, (Handwritten) _James Miller_, Collection Manager.

[Ill.u.s.tration: Specimens of business letterheads used by English firms]

_Third letter_

STONE BROTHERS NEW YORK

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How to Write Letters (Formerly The Book of Letters) Part 39 summary

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