Description
Be prepared for delinquent customers and implement best practices into your internal collections policies and procedures.For many companies, the most challenging part of operating a successful business is ensuring you’re getting paid for your efforts. While businesses focus on providing quality services or products to their customers, some customers will inevitably fail to pay debts timely and accrue delinquent balances. The unfortunate reality is that all businesses, at some point, will find themselves needing to deal with delinquent customers. This topic will help you implement a few best practices into your internal collections policies and procedures to be prepared in advance for those delinquent customers. In addition to internal collection procedures, this material will also discuss when it may be appropriate to bring in a third party to enforce collections and the best way to be prepared for legal proceedings.
Date: 2022-01-27 Start Time: End Time:
Learning Objectives
Procedures and Policies for Collections
• Establish Policies and Procedures for Collection Timelines and Actions
• How: Clear Objective Actions in Established Procedures
• When: For Each Action, Follow Clear Time (Ex. Contact Customer Within 30 Days After Default)
• Who: Determine Whether Each Action Should Be Undertaken by a Third Party or, If Internal, the Responsible Party for Each Action
• Ensure That All Customer Contracts and Agreements Contain Appropriate Customer Information
Internal Collections Within the Company
• Collections Groups
• Different Professionals for Different Levels of Collections
• Trained Professionals
• Implementation of and Adherence to Established Policies and Procedures
• Consistency Within Company
Third-Party Collections
• When Third-Party Collections Should Be Considered
• Not Enough Internal Support for Collections
• Specialized Help Is Necessary
• Customer Not Responding to Internal Collections Efforts
• Type of Work Performed
Pre-Bankruptcy Planning and Bankruptcy Techniques
• Monitor Consistency of Customers Payment
• Amount of Payment and Time of Payment
• Continue to Assess Customer Risk Throughout Relationship
• Adhere to Company Procedures and Policies Regarding Late or Incomplete Payments
• Bankruptcy Techniques
• Relief From the Automatic Stay
• Adequate Protection
• Proofs of Claims
• Attend 341 Meeting and Become Involved in Case
The Legal Process
• Initiating Legal Proceedings With the Courts
• Keep Reliable and Organized Records and Documentation to Meet Burden of Proof
• Proper Witness Support
• Identifying and Providing Appropriate Witnesses to Counsel
• Witnesses Have Knowledge of Procedures and Individualized Facts
• Obtaining a Judgment Against Customer and Collecting on the Judgment
CLE (Please check the Detailed Credit Information page for states that have already been approved) ,Additional credit may be available upon request. Contact Lorman at 866-352-9540 for further information.
Kirk B. Burkley, Esq.-Bernstein-Burkley, P.C., Christopher B. Wick – Hahn Loeser & Parks LLP
