[mike_m]

I have a client who is overdue paying his invoice for 2 months now, and I just want to see if any of you guys take the route of charging interest on late payments. It's worked out like this:

invoice amount (say £1000.00 ) + (base rate of interest [4.75%] + 8% ) for a year , then divided up into daily amounts - in this case it would be £127.50 / 365 = £0.35 per day added on every day the invoice is overdue..

He is normally late, but does end up paying - he's never taken this long, or used so many rubbish "i'm sending it today" excuses before.. Just wondering what tactic I should use - Charging interest, telling him he has to pay up front for any more work, sending the boys round for his kneecaps etc..

any thoughts?

[TEnterprise]

contract - you need to go by what you both agreed.

If you haven't done so with this client consider putting it in for all future clients

[oli]

2 months is taking the piss Mike, Id send him a final letter requesting payment and mention that if its not received within 7 days or so then you will start charging interest, dont mention what you will charge though.
Failing that, send me 50% of the amount and ill go and kneecap 'im

[mike_m]

Yeah it's all in the contract - BUT sometimes you let things slide a bit because you have a long relationship with a business, I don't want to suddenly get medieval on his ass because we do get a fair amount of regular work from him. but yeah, 2 months does take the piss, I think the approach I'm looking for is 'gentle but firm'

[smallbeer]

I'd say threaten them with the added interest as a way of getting them to pay up. You'll probably find they pay the amount owed but not the added interest...knowing how uneconomic it would be for you to try and claim it. it might make them sit up and listen though.

Not sure how you stand if late payment fees are not in the original contract though.

is this a website? do you have ftp access? bring it down. or put an image of a big fat cock on there.

[Brown]

2 months is not taking the piss. after 3, i add 8% interest and tell them that anothe 8% will go on every week till i gets paid.

you are totally allowed to do this.

[mike_m]

That's interesting.. I assume you can do that if it's specifically in the contract - otherwise the law says you can have the base rate + 8%.. Any links to proof you can put an arbitrary rate of interest per week on?

[smallbeer]

what about this Mike

http://www.payontime.co.uk/legislati...tion_main.html

[seen.to]

Knee caps can be replaced, do his ankles.