How to Handle a Non-Paying Customer in Direct Sales Business?

[LBurke]

I have a customer who has hosted with me twice (in three months) and is somewhat seriously interested in recruiting. She does not live real close to me (about an hour round trip) and each show has barely qualified (so I've barely made gas money off them).

Her last show was June 13th. She paid me with a check, which bounced! She has already recieved her product and I am now out $60! I have left several messages phone and email and just after July 4th she said she'd send a money order out right away... guess what... NO MONEY YET! She knows I am personally out this money and that I am having to slow down my business due to pregnancy complications (nothing too serious). (PS she is a past Avon lady so knows somewhat how this works.)

I called again today to tell her I have not yet recieved payment and her MIL answered and I'm positive I heard her tell her MIL to tell me she was asleep.

My question for you all is, what do I do now? I feel like I've given her ample time to pay me back and don't really care if I keep her as a customer or teammember at this point... as she's basically stolen from me.

I was thinking I'd send a certified letter next. I'm willing to take it up w/ a lawyer friend of mine, but not sure if the $60 is worth that in the long run. Do I bless and release and learn this lesson the hard way or should I pursue it a little longer?

 

[pampered.chris]

In the state of PA you can go to the magistrates office and file a claim in small claims court for FREE and she will not only have to pay you, but she will have to pay the court costs ($50-100). All they require is that you have contacted her and given her time to make her check good. Which you have...you have given her ALOT of time.

So now, I would contact your magistrate in the morning, find out the rules and see what you have to do. Sometimes you have to send a certified letter w/ a return receipt to have proof. This is a good idea anyway. In this I would give her 10 days from the date you mail the letter to make good by cash or check only. I would also tell her that on the 10th date if you have not received the money, that you will turn this matter over to the magistrates office. And do it. Don't wait any longer. This is your money...she has the product and she has now STOLEN from you and the Pampered Chef.

Oh and I wouldn't worry about the lawyer, don't go that much into cost.
I wish you the best of luck with your situation!!

 

[stacywhitlow]

I would request cash or money order only though. I wouldn't take another check from her.

 

[LBurke]

I did request check or money order. The lawyer is a friend, but is moving so probably wouldn't have time to help (and doesn't really do that kind of law anyway). Thanks for the advice... I'll look into the magistrate in the morning and a fellow consultant on my director's team is emailing me a letter she used in a similar circumstance! I'll keep you all posted.

 

[AnaCash]

I am sorry to hear about the situation you are facing with this customer. It is frustrating and unfair to have someone not follow through on their commitments and leave you out of pocket. I can understand your hesitation in pursuing legal action over $60, but at the same time, it is important to stand up for yourself and your business.Sending a certified letter is a good next step, as it shows the customer that you are serious about getting your money back. You can also consider reaching out to your upline or the company's customer service department for advice on how to handle this situation.In the future, it may be helpful to have a clear payment policy in place for your customers, especially those who are not local to you. This can help avoid similar situations in the future.I wish you the best of luck in resolving this issue and I hope you have a successful and stress-free pregnancy. Take care.Best regards,