The systematic process of following up on overdue or failed payments — reminder emails, notices, and escalating messages — to collect what you're owed.
Dunning is the polite-but-firm machinery of getting paid when an invoice goes unpaid. It’s the sequence of nudges: a friendly reminder the day payment is due, a firmer note a week later, then escalating messages referencing late fees or paused work. The word sounds old-fashioned because the practice is — chasing money is as old as commerce.
For sellers, having a dunning process means you don’t have to reinvent an awkward email every time someone pays late. A predictable ladder of reminders — automated where possible — collects most overdue invoices without drama and without you stewing over whether to “bug” the client. The trick is starting early and staying unemotional; the first reminder should go out the moment payment is late, framed as routine, not accusatory.
For buyers, dunning messages aren’t personal — they’re the standard process every business runs. Pay on time and you’ll never see them; the cheapest reputation you can build is being someone who pays when they said they would.
Back your process with clear payment terms and a stated late fee so escalation has teeth. Learn the human side in dealing with late invoices, and use ready-made late payment reminder emails.