The Alaska daily empire., 1922-07-19

the customer and the community, for the part of the customer who natur- ally runs up big bills unthinkingly, and then is unable to pay.
 Many merchants are too busy giving away merchandise to take time to collect their accounts until the bank phones them their account is overdrawn or some draft to meet. Then he hustles round to his best and easiest customers, makes them pay. Lets the others go. When the draft is met, forgets again till the next time.
 Merchant Loses
 "Overdue accounts, hard luck stories are mostly habit.
 ''The merchant who is afraid to collect his accounts, flor fear of los | ing a customer (whom really he has already lost and in many cases is | knocking him, nursing some fanciful grievance to excuse himself to himself and his friends why they don't pay him) if he makes excuses to the customer why he wants the money, not only is he belittling himself but also makes himself look foolish and easy in the eyes of the debtor who laughs behind his back.
 "It will pay well to look over all accounts that have not been active for 60 days.
 Much of this trouble can be avoid ed in the first outset if the mer chant gets fullest information from prospective customers and impresses his terms and sticks strictly to them. Well begun is half done Inadequate promises, or promises without some cash payment to start, are absolutely of no value. Overdue. bad accounts are usually started with Promises next week
 I Credit is only good for a period granted If this is 30 days, after that date, credit rating is of no value Credit being tho value set on a mans
 word or promise as well as his abil ity to pay--confidence if broken | leaves no CTcult.
 Publicity in the collection of de- linquent accounts has long been recognized and recommended by judges of bankruptcy courts, credit associations and collection authori- ties But it remained flor the United Creditors Association to use the pub licity principal for the protection of the creditor.
 "This is the only method which can be depended upon to collect very 'old, outawed, execution-proof ac counts in a way which the evasive debtor cannot sidestep
 What Law Says
 "The law does not recognize the right of debtor to legally object to the advertisement and sale of 8 just claim against him. It being the personal property of the creditor he may realize and dispose of it in any way he deems proper. Accounts are treated as personal property. Just the same as Liberty Bonds, judg. ments. notes or stocks and shares dvertised and sold to the highest bid. der where they are. most likely to find a buyer, namely in the locality where the debtor is now living and doing business, with view of selling same to persons who owe him money Outiawed Accounts This applies to outlawed or exc. cution proof accounts just the same as whilst the statute of limitation bars the use of courts flor collection of accounts on which some payment has not been made in given period It does not release the debtor from owing 1t. Nor does it prevent the sale of such account. v '1n practically every city and town throughout the United States and Canada merchants who are using the United Credit Association collection system for tracing of lost addresses and collecting not only very old out lawed but also slow paying ac counts have also organized local credit rating bureaus, thus prevent ing a debtor owing every merchant in the town for more than he is ever able to pay. It not only protects the merchant, but also the customer. prevents a man earning $150 . month consciously or unconsciously running $2O0 worth of charges a month. II Confidential Files
 "A record is kept on conf. dential file n total amount owed in the town by any individual so before opening a new account the applica- tion is passed by this bureau.
 "As an illustration a person owing $500 in town now. earning only $200 per month. it would not be fair to him, nor wise of a merchant to give him $100 worth of credit until this is reduced.
 Tn some towns there has been an occasional merchant who preferred mt f0 ioin this credit rating hureau