Late fee turned into a credit hold FEEDBACK
I decided to catch up on bills and saw one of our supplier invoices had been late by four days so I paid it that night including the late fee and figured that was the end of it but I still got an email saying future orders with them would require prepayment until our payment behavior improved which was a polite way of saying we were now flagged as a credit risk. Mind you that this sort of relationship we have has been clean for three years and that ONE late payment somehow pushed us over their internal threshold. The original invoice was not disputed or unusually large, it landed in my inbox during a busy week and slipped past the due date. There was no warning the late fee would escalate into anything bigger but it seems like their AP team made the call on internal scoring and that was that . Losing credit terms with this supplier is gonna make our cash flow planning harder but yet again I still didn't expect it to escalate like this. What would you guys do if say this would/has happened to you because I wanna clean this up.