HOW IT WORKS
After you lodge an unpaid invoice, Chargetree contacts your customer the same day and keeps going until the debt is paid, on a plan, disputed or escalated. You can see every step in your dashboard.
From overdue to paid, step by step
You lodge the debt by syncing the invoice from Xero or uploading it, adding your customer’s details and confirming the amount. The fee is 15% of what’s recovered on debts under $5,000, or 10% on debts of $5,000 or more.
We contact your customer the same day by email and SMS. The message names your business, the invoice and the amount, and links to the Pay Portal.
We follow up by email, SMS and phone at reasonable hours, within the contact limits the ACCC/ASIC Debt Collection Guideline recommends. Calls are recorded and transcribed.
Your customer pays by card, Apple Pay, Google Pay or direct debit, in full, in part or on a payment plan.
If your customer raises financial hardship or disputes the invoice, we pause contact and tell you.
If they still don’t pay, we send a formal letter of demand. Where you’ve switched it on, or the debt is above your threshold, we then refer it to our legal partner.
Payments go straight to your account through Stripe, and the invoice is reconciled in Xero.
Where each debt ends up
Every debt you lodge finishes in one of these places, and your dashboard shows which one.
Outcome
What it means
What you do
Paid in full
Your customer pays through the Pay Portal and the money goes to your account
Nothing. The invoice reconciles in Xero
On a payment plan
Your customer pays by instalments and each payment is logged
Watch the payments arrive. Failed payments are flagged in your dashboard
Part paid
Your customer pays some now, and we keep following up for the rest
Nothing, unless you decide to accept the part payment as settlement
Disputed
Your customer says the invoice is wrong, and contact pauses
Send us the quote, contract or proof of delivery so it can be resolved
Hardship
Your customer says they can’t pay right now, and contact pauses
Decide whether to offer a plan, more time or a reduced amount
Escalated
There’s still no payment after a letter of demand
If you’ve switched on legal referral, it goes to our legal partner. If not, we talk to you about options
What your customer sees
Your customer gets clear, polite messages that say who we are, which business we’re acting for, what’s owed and how to pay or get help. We’re firm because the debt is real, and polite because the person reading it might be having a rough year. Read how we collect.
What you see
A live dashboard showing every message, call and payment for each debt. You can add notes, upload documents such as a signed quote, and tell us if your customer contacts you directly.
The debt collection process in Australia, in plain English
Whoever does it, debt collection in Australia usually follows the same path:
Reminders from the business itself, from the due date to around 60 days overdue
Referral to a debt collection agency, which contacts the customer and negotiates payment
A formal letter of demand with a deadline
If the debt is still unpaid and undisputed, a claim in the local court or tribunal (small claims by state)
Enforcement of any judgment, if the customer still doesn’t pay
Frequently asked questions
How do debt collectors work in Australia?
Debt collectors contact the person or business that owes money on behalf of the creditor, by letter, email, SMS and phone. They negotiate payment or a payment plan and can escalate to a letter of demand or legal action. They must follow the ACCC/ASIC Debt Collection Guideline and state laws.
What happens if my customer pays me directly after I’ve lodged the debt?
Tell us in the dashboard and we’ll stop contacting them.
Does Chargetree visit people in person?
No. Chargetree collects by email, SMS, phone and letter only.
How do you decide when to escalate?
You set the rules. Legal referral only happens where you’ve switched it on or the debt is above the threshold you choose. Otherwise we stop at the letter of demand and talk to you about options.
