(And why it forces you to finally shift away from physical cheques)
Imagine your receivables pipeline: invoice goes out, client pays (maybe with a cheque), you deposit it, everything flows.
Now remove Canada Post from that chain. No mail, no cheque delivery, maddening re-issued cheques, and delayed notices.
That’s the reality many Canadian businesses are facing right now.
With Canada Post in the midst of a nationwide strike, all mail and parcel services are shut down for the duration. Some post offices are closed; guaranteed delivery services are suspended.
Even when the strike ends, catching up could take weeks.
Here’s what this disruption means for your collections — and how you should (i.e. must) adapt.
The Immediate Risks to Your Cash Flow
- Delayed or undelivered statements & invoices
Clients may never receive your invoice in time—or at all. Late notice means a late response (or often, no response). - Lost or misrouted cheques
Many businesses still favour physical cheques. But those cheques, when mailed, are now vulnerable to being stuck in postal limbo. - Backlog and operational drag
When postal operations resume, there will be a surge of delayed deliveries—so your notices could arrive en masse, disrupting your collection schedule and confusing customers. - Increased disputes over “Did I ever see that?”
With more invoices lost or delayed, some clients will dispute that they ever got the bill, buying time or pushing the claim down the priority list. - Strain on small businesses
Many small businesses tend to rely heavily on paper invoices and customer goodwill. A postal disruption can hit them especially hard on liquidity.
Why This Should Force You to Kill Cheques
Yes, some people like sending cheques. It gives them a sense of control, a “paper trail,” a bit of extra delay. But in a disrupted postal environment, that becomes a liability, not a buffer.
In Canada, the infrastructure already exists for better options:
- Interac e-Transfer — fast, widespread, secure and super-popular.
- Electronic Funds Transfers (EFT / direct deposit / bill payment) — traditional banks support it and make it easy once setup.
- Autodeposit & digital banking — many businesses and clients already have this set up.
Interestingly, in Alberta, the province plans to deliver “parent support” payments during the impending teacher strike via e-transfer, starting October 31 and retroactive to October 6.
That’s a real-world example of even slow government agencies using digital payments when physical systems face disruption.
Switching clients to electronic payments may require more education and communication, but the upside is enormous: faster cash collection, clearer audit trails, and far less risk of physical disruption.
5 Strategic Moves to Stay Ahead
| ACTION | WHY | HOW |
|---|---|---|
| Announce a digital-payments pivot now | Preps clients and signals seriousness | Send a notice that future payments should be e-transfer / EFT / digital only |
| Offer incentives | Encourage faster adoption | Small early-payment discount or waived late-fee for digital payments |
| Set up fallbacks | Allows reluctant clients to adapt slowly | Permit digital plus secured drop-off or courier option, but keep cheques as the exception |
| Automate reminders | Reduces manual chasing when delivery is uncertain | Use AR software or CRM rules to send electronic nudge emails |
| Segment your clientele | Not all clients change at the same speed | Prioritize high-risk or long-delinquent accounts for early push to digital |
These moves aren’t only for infrequent (but damaging) strike periods. They upgrade and protect your entire collections system.
Once clients get used to e-transfer or EFT, you will never go back to cheques. And your receivables will be much better for it!
What to Watch as Normalcy Resumes
Once the strike ends and some form of postal service returns, your strategy needs revisiting:
- Expect a surge of late cheque deliveries
Many cheques will still arrive late; plan for cash-flow shock. Watch for duplicates of payments re-sent an alternate way. - Gradual rollback vs. full reinstatement
Don’t immediately accept cheques for payment. Keep controls in place. - Monitor postal reforms
The strike is tied to a larger transformation: Canada Post is phasing out door-to-door delivery in many areas as service adjusts to financial realities. That means some clients may permanently lose reliable mail routes, further weakening cheque-based systems. - Measure adoption & client pushback
Track how many clients switch or resist, and why. Use that feedback to refine your approach. - Maintain your backup options
Always have an alternate path (courier, drop box, in-person) for unique cases or clients with limited tech access.
The New Way Forward
A strike at Canada Post is bigger than a temporary inconvenience. It puts a stress test on your collections model. If your accounts receivable system still leans on mailed cheques and physical notices, you’re vulnerable.
The new way forward: accelerate your shift to digital payments (e-transfer, EFT), automate as much of your reminder system as possible, and create fallback paths ONLY for exceptions.
Even if postal operations mostly bounce back, your upgraded system will be stronger and more resilient.
Still need help with collections beyond cheques stuck in the mail? My team of debt collection pros are always here to help. Drop us a note anytime! (By email or phone, not by post.)
