How to chase an overdue invoice

Most overdue invoices aren't refusals. The customer forgot, the invoice went to the wrong inbox, or their own cash is late. A short, friendly follow-up sequence collects most of them — here's one that works.

Why invoices go unpaid

They forgot. The most common reason by far.
The invoice never arrived. Wrong address, spam folder, or a bookkeeper who never saw it.
Their cash flow is tight. They're waiting on their own customers before they can pay you.
Something's wrong. A query or dispute they never got around to raising.

Each reason needs the same first step: ask. Politely, promptly, and in a way that makes it easy to answer.

A follow-up sequence that works

On the due date — email. A one-line reminder with the invoice attached again. Automate this in your accounting software.
7 days overdue — phone. Email is easy to ignore; a call is not. Most payment dates, disputes and "never got it" replies surface on this call.
14 days — email a statement and confirm whatever was agreed on the phone in writing.
21 days — call again. Refer to the earlier promise. Stay friendly; keep notes of every contact.
30+ days — decide. Stop further work, and consider the formal options below.

What to say on the call

The tone that collects is a check-in, not a demand:

"Hi, it's Sam from Harbour Electrical. Just checking in on invoice 1042 — it was due on the 14th and I haven't seen it come through. Has it landed with the right person? … No problem. When do you reckon it'll be paid?"

Get one concrete thing from every call: a payment date, a query to fix, or a request to resend the invoice. Write it down and follow it up.

If they still don't pay

Charge what your terms allow — late-payment interest or fees only work if they're in your terms of trade before the job.
Disputes Tribunal handles NZ claims up to $60,000 without lawyers, for a small filing fee — but only where the customer genuinely disputes the debt. An invoice they admit and simply have not paid goes to the District Court instead. See which unpaid invoices the Tribunal will hear.
Debt collection agencies take a cut but need no up-front work. Keep your contact notes — they'll ask.

Escalation costs money and goodwill. The follow-up sequence above is cheaper — the trick is doing it every time, for every invoice.

The hard part is the phone call

Everyone automates the emails; almost no one makes the calls. They're awkward, they take time, and they land in the middle of your working day. That's the step Gary automates: it connects to Xero, rings overdue customers in a friendly voice during business hours, and reports back what it found — a payment date, a dispute, or a request to resend. You approve each customer before any call goes out.