What is credit control?
All companies have debt and money that is owed to them, credit control is about guiding debtors to pay their bills.
What do AFP do?
When a debt is overdue we ring the client to see if there are any problems with payment, and then we set a date for the debt to be settled.
Specifically, what is the AFP way of managing this process? Do we have any special tips or tricks?
Confidence and organisation are key, I keep a weekly report and a list of overdue balances. I issue regular statements which include both the previous and current month to clients, along with a list of actions and information on actions taken.
What challenges are there?
The biggest challenges are unpicking problems and waiting for payments. I have to ensure monies owed match up and ultimately balance out, so it's important to build a good rapport with clients. 9 times out of 10 unpaid bills are not due to inability to pay, but due to the client waiting for an order to come through, so this can take time and patience to sort out.
What do clients find difficult?
Clients themselves often find it difficult to get the contact information of the right person to speak to, it can also be hard to get that person on the end of the phone when you do know who they are. In general people can find talking about money quite difficult, so it's important to be sensitive to that and approachable, but at the same time to clearly communicate the consequences of non-payment.
Why outsource your credit control?
The above examples are good reasons to outsource, and allowing someone who has full knowledge of terms & conditions to guide the process of getting debt resolved is a much less stressful way to manage your credit control.
A little about Alyson
Alyson worked for Alliance & Leicester for 18 years, as a Collections Officer before moving to Pre-Litigation. She then worked as an Underwriter for 8 years and then worked in Group Risk for 2 years.
Don't spend your time chasing payments...