I am often asked if it is better to use a specific payment due date or print “Due Upon Receipt” on your statements.
My answer is to always use a specific due date and a realistic one. I recommend 20 days from the date of the statement if your statements are mailed or emailed on the statement date.
To most clients, “Due Upon Receipt” has no meaning. A specific payment due date notifies your client exactly when payment is expected. In addition, you know when you were supposed to receive a payment so you can send out a follow-up statement when payment has not been received by the payment due date.
When you print “Due Upon Receipt” and take action, any action you take can look arbitrary. If you print “Payment Due Date February 28, 2014” and you send a follow-up statement on March 1st, your follow-up statement will not be looked upon as arbitrary particularly if you include verbiage that says, We did not receive your payment by the “February 28, 2014 Payment Due Date”.