How to Set Up Recurring Payment Reminders in the UK

Setting up recurring payment reminders ensures your customers receive timely notifications before payments are due. This reduces late payments, improves cash flow, and saves you time by automating follow-ups.

Why this comes up / what goes wrong

Many small business owners in the UK rely on manual methods like spreadsheets, emails, or WhatsApp chats to remind customers about payments. Without a consistent system, reminders may be forgotten or sent too late, causing delayed payments and cash flow issues. This can strain client relationships and increase administrative work. Setting up recurring payment reminders helps you automate and standardise this process, ensuring no payments slip through the cracks.

Step-by-step

1. Decide on the payment reminder frequency: Choose how often reminders should be sent based on your billing cycle. Common options are monthly, quarterly, or annually.

1. Set the timing for each reminder: Plan when reminders will go out relative to the payment due date. For example, send reminders 7 days before, 3 days before, and on the due date.

1. Write clear reminder messages: Each message should state the payment amount, due date, accepted payment methods, and contact details for questions. Keep the tone polite and professional.

1. Choose delivery channels: Decide whether to send reminders via email, SMS, WhatsApp, or a combination. Confirm you have customer consent for each channel, as UK regulations require this.

1. Use software or a CRM to automate reminders: Set up the schedule in your system so reminders send automatically. This avoids missed or late messages.

1. Test the reminders: Send test messages to yourself or a colleague to check formatting, links, and timing.

1. Monitor and adjust: Track responses and payment timings. Adjust reminder frequency, timing, or message wording based on what works best.

Example (fictional figures)

A recruitment consultancy in Bristol bills clients monthly for retained services.

• Monthly payment amount: £3,500
• Payment due date: 15th of each month
• Reminder schedule: 7 days before, 3 days before, and on the due date

Calculating reminder dates for March 2024:

• Due date: 15/03/2024
• First reminder: 15/03/2024 − 7 days = 08/03/2024
• Second reminder: 15/03/2024 − 3 days = 12/03/2024
• Third reminder: 15/03/2024 (due date)

Each reminder message includes:

"Dear Client, your payment of £3,500 is due on 15/03/2024. Please ensure payment is made by this date. For questions, contact accounts@recruitmentbristol.co.uk."

This schedule repeats monthly, automatically generating reminders on the 8th, 12th, and 15th of each month.

Common mistakes

• Sending reminders too late: Sending reminders close to or after the due date gives customers little time to pay. Prevent this by scheduling reminders at least 7 days in advance.

• Using unclear or inconsistent messages: Vague or changing messages confuse customers and delay payments. Use clear, consistent templates that include all payment details.

• Ignoring customer communication preferences: Sending reminders via unwanted channels can annoy clients and reduce effectiveness. Always confirm and respect preferred contact methods.

• Failing to automate reminders: Manually tracking reminders increases the risk of missed or late messages. Use CRM task boards to automate and track reminders (sales task boards).

• Not monitoring reminder effectiveness: Without tracking payment timings and responses, you can’t improve your process. Regularly review and adjust reminder schedules.

• Not obtaining proper consent: UK rules require customer consent for sending SMS or WhatsApp reminders. Always confirm and record consent before sending messages.

Doing this in HelloGrowthCRM

HelloGrowthCRM helps you manage quotes, proposals, invoices, and payments from the deal record, with quotation status visible alongside follow-up tasks. Each payment reminder can become a task with a due date on task boards, so your team never misses a follow-up. You can also automate multi-step sequences for reminders over two weeks that stop immediately when a customer replies, reducing unnecessary messages. Learn more about HelloGrowthCRM for the United Kingdom.

Frequently asked questions

How often should I send recurring payment reminders? The frequency depends on your billing cycle and customer preferences. A common approach is sending reminders 7 days and 3 days before the due date, plus on the due date itself. This balances helpfulness without overwhelming customers.

Can I send payment reminders through WhatsApp? Yes, WhatsApp is an effective channel for payment reminders if you have customer consent. HelloGrowthCRM integrates WhatsApp messaging to automate reminders.

What if a customer disputes a payment after a reminder? Include clear contact details in your reminders so customers can raise queries promptly. Track all communications in your CRM to manage and resolve disputes efficiently.

Do I need customer consent to send SMS or WhatsApp reminders? Yes, UK regulations require consent for marketing and transactional messages. Always confirm and record customer consent before sending reminders.

How do I avoid reminders being marked as spam? Use clear sender information, avoid excessive messaging, and personalise messages where possible. Automating reminders through a CRM helps maintain professional consistency and reduces spam risks.

Key takeaways

• Schedule reminders well before due dates to allow customers time to pay.
• Use clear, consistent messages including payment amount, due date, and contact details.
• Respect customer communication preferences and obtain consent for SMS or WhatsApp.
• Automate reminders using CRM task boards to avoid missed or late follow-ups.
• Monitor payment responses and adjust reminder timing or frequency accordingly.

Setting up recurring payment reminders improves cash flow and reduces late payments. To start automating reminders and managing sales follow-ups efficiently, try HelloGrowthCRM’s Free Forever plan with 200 leads and no credit card required.

For more help, visit our help centre.