Disputed Debt Follow-Up Checklist
When a customer disputes an invoice, pause the chase, get to the bottom of the issue and resolve it cleanly so the undisputed balance can be collected.
What this checklist covers
- Recognise and acknowledge a genuine dispute
- Pause normal collections on the disputed amount
- Investigate and resolve the issue
- Collect any undisputed balance promptly
- Document the dispute and its resolution
6 min
Before you start
Chasing a disputed invoice as if it were clear-cut is a fast route to a complaint, so the first move is to take the dispute seriously. Confirm what is actually being challenged.
- Identify exactly which part of the invoice is disputed and why.
- Acknowledge the dispute promptly so the customer knows it is being handled.
- Pause automated reminders on the disputed amount.
- Separate the disputed portion from any undisputed balance.
Conduct guidance expects you not to pursue an amount that is genuinely in dispute as though it were owing, so handle it properly. This is general information, not legal advice.
Investigate and resolve
Work the dispute methodically so it is settled on facts rather than left to fester.
- Gather your evidence — the contract, the order, proof of delivery, the invoice.
- Ask the customer for specifics and any supporting documents.
- Compare both sides and identify where the gap really lies.
- Where you are at fault, correct it quickly — a credit note or revised invoice.
- Where the customer is mistaken, explain clearly with the evidence.
- Agree the resolved amount and a date for payment in writing.
If the dispute looks intractable, a free debt appraisal can help you weigh your options.
Collect the undisputed balance
A dispute over part of an invoice is not a reason to leave the rest unpaid.
- Identify any portion the customer does not dispute.
- Ask for that amount to be paid now, separately from the contested part.
- Keep chasing the undisputed balance on your normal schedule.
- Only the genuinely disputed amount should be on hold.
Collecting the clear part promptly keeps cash flowing while the disputed slice is worked out.
Common mistakes
Disputed debts are mishandled when they are ignored or steamrolled. Avoid these.
- Continuing to send dunning reminders on the disputed amount.
- Dismissing the dispute without investigating, then chasing harder.
- Letting the whole invoice sit unpaid because part of it is contested.
- Resolving it verbally with no written record of what was agreed.
- Dragging out the investigation so the customer loses patience.
Acknowledge fast, investigate fairly, collect the clear part — that is how disputes get settled.
Key takeaways
- Acknowledge a genuine dispute promptly and pause chasing the disputed amount.
- Investigate on the evidence and resolve in writing.
- Keep collecting any undisputed balance on the normal schedule.
- Record the dispute and its resolution for the file.
Frequently asked questions
Should I keep chasing an invoice the customer disputes?
Pause chasing the disputed portion while you investigate, since pursuing a genuinely contested amount as if it were owing can breach conduct guidance. You can and should still collect any part of the invoice that is not disputed.
What if I think the dispute is just a stalling tactic?
Investigate anyway and respond with your evidence. If the 'dispute' has no substance once examined, you can resume collections on a documented basis. Brushing it off without looking risks a complaint and weakens your position later.
Can I collect part of a disputed invoice?
Yes. Where only part of an invoice is contested, separate out the undisputed amount and ask for it to be paid now. Only the genuinely disputed slice should be on hold while you work through the issue.
Work the checklist, then get paid
Use the free Invoice Generator, then let Merion recover anything that goes unpaid — commission-only.