Common use of Office Responsibilities Clause in Contracts

Office Responsibilities. The office goals are: • Successful and profitable liquidation of accounts receivables; • To maintain client satisfaction- which leads to repeat business. The office can meet these objectives by establishing timely and effective collection practices. The importance of immediate follow-up on a delinquent account cannot be over-emphasized. The later in the delinquency cycle a customer is contacted, the fewer options are available to FIFS and the customer. Profitability on an account is effected by more than the potential loss on repossession. An account that must be contacted every month for payment is incrementally less profitable than an account that pays “as agreed,” even though all payments are made in both cases. FIFS organizes the collection department by utilizing an online (auto dialer system) and offline system consisting of three steps: • Accounts are assigned to collection queues determined by: 1) the delinquency of the account (days past due), 2) the status of the account (repossession, bankruptcy, skip, etc.) and 3) the balance of workloads. • Accounts are assigned to in-house collectors titled Account Service Representatives. (ASR’s) according to experience level and previous performance. • The ASR is responsible for ensuring proper collection follow-up for all assigned accounts. The ASR’s are separated into two departments. The front-line collection group handles accounts under 30 days past due. Back-end collectors handle accounts over 30 days past due until resolution ( i.e. account brought current, paid-in-full, repossessed or forwarded to a specialty unit such as bankruptcy or litigation).