[Ashley Cao]

Hi All,

Just want to ask if customer defaults on their ATP instalment, do you call customer & ask for payment?
How many no. of default that you’ll allow before cancelling ATP?
What’s the next step after ATP has been cancelled?

Most of our ATP customers have more than $2,000 arrears on their rate account, as there’s no enforcement on ATP therefore usually people defaults ATP we cancel then they set up again. It’s going in a circle.

Want to see how others are dealing with this scenario.

Thank you
Ashley

[Cherie Muir]

Hey Ashley … what’s an ATP on your end? Some kind of automatic recurring payment? I’ve not come across the ATP acronym before?

[Ashley Cao]

Hi Cherie,

It’s a payment arrangement that customer would like to enter, they’ll organise payment on their end.

Thank you
Ashley

[Cherie Muir]

Duh! my apologies Ashley, of course 🙂

Depends on what stage of debt management the arrangement was struck, ie. pre or post Letter of Demand. If the progression of legal action was stalled by the establishment of an arrangement, failing that arrangement would likely tip off into a recovery situation (after a broken arrangement letter) .. within the scope of our debt recovery policy.

[Ashley Cao]

HI Cherie,

Thanks for your response. We haven’t started legal actions yet, just touch base with customers who’s behind their debts for more than 2 years.
Do you allow 1 default or 3 dafaults occur before taking the next actions?

Thank you
Ashley

[Dallas McConnell]

Hi Ashley,

I noticed the infinite loop ratepayers can be in with payment arrangements as well.

We follow a 3 strike process, so for example.
First payment missed, they get a phone call
Second payment missed, they get a letter
Third payment missed, the arrangement is cancelled.

This is supported by our debt recovery and hardship assistance policy that says a ratepayer can only get 2 arrangements in a 12 month period.

Hope this makes sense, otherwise happy for you give me a call or an email.

Regards,
Dallas

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