Bulletproof Debt Management Policy

Aim

In an effort to improve service and reduce administrative overheads for all involved, Bulletproof Networks has implemented the following Debt Management Policy. This Policy aims to ensure the effective management and recovery of outstanding debts, whilst maintaining a quality service to Customers.

 

 

Responsibility

The Finance Assistant is responsible for Debtor Management, with the assistance of the Chief Financial Officer (CFO) for escalation where required. Outstanding debts will be reviewed on a regular basis by the Finance Assistant and decisions will be made as to the most appropriate debt recovery action. This can include:

·         Issue of regular reminders (as detailed in the Policy).

·         Personal contact with the debtor.

·         Referral of matter to the Sales Representative responsible for initiating the debt (where appropriate).

·         Escalation of matter to Chief Financial Officer for referral to debt recovery agents.

 

 

Recovery Action

A clear collection procedure is to be used for the timely and efficient administration of debtors. An invoice will be issued as soon as practicable in accordance with contract conditions or other arrangements.

 

The following procedures will be followed to recover outstanding amounts:

 

 

Debts Due and Payable

Normal payment terms will be 14 days from the date invoice.

 

 

Prebuy Arrangements

Prebuys come under a special arrangement for payment within 14 days of Invoice. If payment is not received within terms, a reminder notice will be issued requesting payment within 7 days otherwise an additional invoice will be issued charging the previously discounted setup fee.  A sample of this letter is available upon request.

 

 

Debts 45 Days and Over

If a debt is unpaid after 45 days from invoice date, a phone call will be made to the debtor and the First Reminder Letter will be issued requiring payment within 14 days and is to include copies of all outstanding invoices. This letter will be issued in via email or fax and also posted to the recipient. A sample of this letter is available upon request.

 

 

Debts 60 Days and Over

If the First Reminder Letter is unsuccessful and the debt is still outstanding after 60 days, a subsequent phone call will be made to the debtor and the Second Reminder - Suspension of Service Pending Letter will be issued requiring payment within 7 days. This letter will be issued in via email or fax and also posted to the recipient. A sample of this letter is available upon request.

 

 

It is at this point that Finance will refer to the Sales Representative and request that they take appropriate follow-up action directly with the customer in addition to the routine action taken by Finance. The Sales Representative will ensure there are no disputes on unpaid amounts before they contact the customer and advise Finance accordingly if there is any impediment to collecting the debt.

 

The Sales Representative and Operations team will be notified that this letter has been issued and are under instructions to not undertake any requested additions, changes or deletions of the account until further notice from the Finance Department.

 

The Sales Representative will then be consulted by the CFO before any action is taken to issue the notice of default and/or refer an outstanding debt to a collection agency

 

 

Debts 90 Days and Over

If the second reminder letter and/or referral to Sales Representative is unsuccessful and the debt is still outstanding after 90 days, a Notice of Default and Service Disconnection letter will be issued demanding immediate payment. This letter will be issued via email or fax but will also be mailed to the recipient via registered post. A sample of this letter is available upon request.

 

The Sales Representative and Operations team will be notified that this letter has been issued and the account will be flagged for disconnection within 7 days.

 

 

Debt Collection Agency / Legal Action

If the Notice of Default does not produce settlement, A Notice of Termination will be issued by the CFO and the debt will be referred to a Debt Collection Agency and or the Bulletproof Legal Team for further recovery action.

 

All accounts that proceed to legal action will have an interest charge applied at a rate of 12% per annum accruing daily until the debt is satisfied. The debtor will also be liable to cover all costs incurred in regards to the recovery of the outstanding debt.

 

 

Dispute Settlement

Where payment of an outstanding debt is being disputed by a debtor, the Finance Assistant will consult with relevant operational staff and may then attempt to mediate a solution or issue a credit for the debt.

 

The CFO may accept a reasonable request for the payment of an outstanding amount by instalments, provided that a reasonable progress payment is made promptly within a specified date. Any instalment repayment agreement is to be documented in writing and agreed by both the debtor and the CFO.

 

An explicit term of any such arrangement is that the failure by the debtor to pay any instalment on or before the due date will render the full amount of the debt then outstanding, immediately due and payable.

 

 

 

 

 

 

 

 

Bulletproof Networks would like to take this opportunity to thank you for your ongoing use of Bulletproof Networks services. Should you have any questions or comments in relation to this policy or general enquiry on your account, please contact your account manager or email accounts@bulletproof.net