When you have a customer that has a large volume and does a lot of business, then putting that particular credit line on hold can be damaging to the company and the customers they serve. However, sometimes this is a necessary step as the occasion arises and it’s not something that anyone wants to do, but sometimes, it’s something that has to happen.
The most important thing to remember is that you should never point the finger in terms of blaming someone, insulting someone or blaming someone outright because you don’t know the exact circumstances that has led to that decision to cancel someone’s credit line. A credit suspension letter needs to be handled with care and it needs to be done with ease as well.
Open with how much you value the customer.
Also, discuss how late payments can affect your company and tell them you want to provide them with a great service.
Assure the company that you want to continue to do business with them.
Break the news that their credit line has been suspended but tell them that the line will reopen to normal if they make their payments on time and all will resume as normal.
It comes to me with great regret to send this news as I’m sure you’re aware of what’s going as you checked your account this morning. You’ve been a valuable customer to us for a long time, but due to some outside circumstances of the company, you have been late on your payments to us.
While I understand you may be going through some financial troubles, we can’t simply ignore the fact that we need to get paid to function. We wouldn’t be able to provide people with a credit line if no one paid us.
For that reason, while I would love to continue doing business with your company, we’ve had to shut off your credit line since its negative $2,000 as of May 3. If you pay the full amount off (without building interest since I froze it for you), then your credit line will resume back to normal.