* Describe methods of controlling credit
* Investigate methods of credit checking
* Examine the use of the courts and debt management agencies in recovering debt
* Describe how to collect debt by letter and telephone
Entry requirementsThis programme is designed for people who wish to gain an understanding of principles and practice of controlling credit and managing debt in commercial organisations.
Academic titleAt the end of this course successful learners will receive a Level 3 NCFE Award certificate of achievement. That means that it is independently accredited at a level of learning equivalent to level 3 on the National Qualifications Framework (NQF) for England, Wales and Northern Ireland"
Course description Pack/Course Contents
Studyguide
Comprehensive study notes for each element of the course
Self-assessment activities
Assignments
Tutor support
Assignment marking & feedback
Accreditation
COURSE CONTENT
The course is divided up into three modules, as follows:
Unit 1 – Credit Control
Credit
Cutting down on credit
Bad debts
Sales discounts
Is my customer credit worthy?
Credit application form
Trade references
Bankers references
Credit checks
Credit insurance
Credit control routines
Terms and conditions of sale
Interest
Invoices
Aged debt analysis and debt turn
Debt recovery through the courts
The Courts and their powers of collection
3 track system – Full description in unit 2
Statutory demands, Insolvency and Bankruptcy
Statutory demands
Insolvency
Winding up petitions
Voluntary arrangements
Administration orders
VAT and Tax relief for Bad debts
What VAT relief is available?
How to claim relief
Tax relief
Unit 2 – Debt Management Agencies
Credit checking agencies
An explanation of what credit checking agencies do
The information they hold
How to use their services.
Factoring companies
A history of factoring,
an explanation of how their products work
The services they can offer.
Specialist Legal Services
What services are on offer
How to use their services effectively
The Courts
How and when it is appropriate to use the courts
Advice on applying for legal resolution
The 3 track system
Small Claims Track
Fast Track
Multi track
Costs verses Settlement – Is it worth it?
Debt Collection Agents
Bailiffs
What are they?
What are the costs involved?
What are their collection powers?
Sheriffs
What are they?
What are the costs involved?
What are their collection powers?
Private Debt Collections agents
What are they?
What are the costs involved?
Unit 3 – Communication
Telephone Communication
Telephone skills
Handling problems and objections
Dealing with difficult customers and controlling anger
How to gain commitment to pay
Written Communication
When to choice written forms of communication
Email verses letters – When is each format appropriate?