Dunning
Dunning is the process of following up on overdue invoices.
Dunning covers the sequence of reminders, calls, and notices used to collect overdue payments — from a polite first reminder to a final notice before escalation. A structured dunning process with set intervals (for example, 7, 14, and 30 days overdue) collects more cash with less friction than ad-hoc chasing.
Example
The accounting system automatically sends dunning emails at 7, 21, and 45 days past due.
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Frequently asked questions
What should a dunning sequence look like?
Start friendly and escalate gradually: a reminder just after the due date, a firmer notice at 2–3 weeks, and a final notice stating consequences (late fees, service pause, collections) before the account goes further overdue.
Does dunning damage customer relationships?
Polite, professional dunning rarely does — most late payments are oversights, and customers expect reminders. What damages relationships is silence followed by sudden aggression.
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