Law and Ethics Practice Exam

What is the first step a therapist should take when clients have unpaid fees?

1. Immediately terminate services

2. Send a letter to inform them

3. Inform the client about potential late fees

4. Provide a discount for prompt payment

The correct answer is: Send a letter to inform them

The appropriate initial step for a therapist when clients have unpaid fees is to send a letter to inform them. This action serves several important functions. First, it addresses the issue of unpaid fees directly and formally, which helps maintain clear communication and demonstrates professionalism. By sending a letter, the therapist provides the clients with a documented reminder of their obligations, which can prompt them to address the unpaid fees in a timely manner. Additionally, communicating through a letter allows for the conveyance of any relevant policies regarding payment, including grace periods or consequences of continued non-payment, while still giving clients an opportunity to rectify the situation before any more drastic measures are considered. This approach aligns with ethical practices that prioritize client welfare and the therapeutic relationship, fostering a respectful and understanding environment for both parties. Other options, such as immediately terminating services or providing a discount for prompt payment, could be seen as overly harsh or inappropriate responses that potentially damage the therapist-client relationship. Informing clients about potential late fees might not be the most constructive first step and could come off as punitive without prior notice. Thus, informing clients through a letter is a balanced and ethical way to address the issue.