10. Simple Steps To filing A Small Claims Case for Childcare Providers to Collect Debt Owed from Parents...

 

Many providers face problems with parents who are payment risks to their center. Some may have a history of non-payment, late payments, or daycare skipping. Most Directors will become frustrated and stop the child from attending until payment is received. You may be wondering what you can do if payment is never received. Here are the steps for how childcare providers may collect debt owed from parents.

  1. Report Parent to “SameerCore, The National Childcare Payment Registry”. : TNCCPR is a company that serves as a risk management service for Childcare Providers. The company offers providers the option to create a business profile to login, name search new parents, and report parents who have not paid or are always late.
  2. Attempt to settle before taking further action: Find out whether the parent can pay your claim. Check out #TuitionBoss in the resource tab on sameercore.com for tuition tips and ideas! There is no shame or harm in having a heart to heart, (but mean business) with your parents. See if they are able to make a payment or payment arrangement. If all measures have been taken, proceed to step #3.
  3. Have All Parent Information and Make Sure its Correct: Know the correct full name and address of the parents responsible for non-payment. Make sure you have all the right information. Having the wrong parent information can lead to contacting the wrong person when reporting parents or sending out letters
  4. Send a Demand Letter: Send a demand letter to the parent by certified mail, return receipt requested. Keep a copy of the letter for your records.
  5. Fill Out A Claims Form (Georgia): After they have received the demand letter and still do not pay in full, you should fill out a claim form entitled “Plaintiff’s Claim and Order to Defendant” with the clerk of the small claims court.
  6. Collect Evidence: (demand letter, promise to pay, payment record, and any canceled checks) to SUPPORT YOUR CASE!
  7. File The Claim In The Correct Court Location: You may choose the location of your childcare or where the parent resides.Pay filing fee: Be prepared to pay filing fees. Add the fees into your claim to recoup that as well.

 

  1. Serve The Parent: (The defendant) with the “notice of the claim.” PLEASE NOTE! You cannot serve the parent yourself. Your case will not be heard if defendant is not served properly.
  2. Prepare The Case for Trial.

It is unnecessary to take a parent to court who cannot pay or who really does not have the money, even if you win, you cannot collect the amount owed. If the parent has no money, but owns assets, the court may use these to repay what is owed. If the parent has no assets or money, you have up to 4 years to file a claim.