TAKING OUT CREDIT INSURANCE ON BUSINESS RECEIVABLES
Taking out a credit insurance policy on customer receivables is an important risk management tool for businesses that reduces exposure to bad debt and helps to stabilize cash flow. Generally, credit insurance is targeted to big businesses with an extensive, often multi-national customer base. But under difficult economic conditions, even smaller businesses should consider using this insurance product as part of their risk management strategies.
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HOW CAN I GET OUR CREDIT MANAGER TO BE MORE PERSONABLE WITH OUR CUSTOMERS?
The problem is, our credit manager does not seem to have good interpersonal skills and although he is trying to protect us from any potential credit risks, his style makes our potential customers uncomfortable.
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WHAT LEVEL OF DISCOUNT IS APPROPRIATE TO OFFER FOR EARLY PAYMENT?
We are planning to offer our customers a discount of 2% towards the invoice amount if payment is made within 15 days. In other words, 2% 15 days, Net 30days. My question is, is 2% the usual discount or is 1% acceptable?
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CREDIT GROUPS RELATED TO CUSTOMERS IN CHINA?
Do you know if there are any credit industry groups related to the electronics industry in China?
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WHAT'S THE DIFFERENCE BETWEEN RECOURSE AND NONRECOURSE?
I am thinking about having my receivables financed but I’m not sure about the difference between recourse and non-recourse financing?
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REFERENCES BY AN AFFILIATED COMPANY.
Q: We just learned that a reference provided by a customer was by an affiliated company. Is this unethical or unlawful?
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INSURING ACCOUNTS RECEIVABLES TO ENHANCE BORROWING POWER.
If I insure my accounts receivables, will I be able to get a lower interest rate if my receivables are used a collateral for a line of credit?
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CREDIT INSURANCE PREMIUM CALCULATION.
What are the factors used in calculating the credit insurance policy premium?
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HOW TO HANDLE A CUSTOMER WHO BECOMES ANGRY DURING A COLLECTION CALL.
My customer has not paid me for the last shipment of $25,000 which is now 90 days past due. Two weeks ago after having made several calls I was finally able to talk to him directly. When our conversation started out, he mentioned several untrue things that made me angry and my voice got very loud. At that point he hung up and unfortunately I haven’t been able to talk with him since. What should I do?
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WHEN TO SEND STATEMENTS.
When should reminders or statements be sent out to customers when payment is late?
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SHIPPING SOME MINING EQUIPMENT TO LATIN AMERICA.
I am presently shipping some mining equipment to Chile, Ecuador, and Peru. Is it possible to obtain accounts receivable financing for the accounts in those countries?
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THOUGHTS ON SARBANES OXLEY
What are your thoughts about the Sarbanes Oxley Act?
> Laws & Regulations | > Your Questions & My Answers
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THOUGHTS ON CREDIT INDUSTRY GROUPS
My company belongs to an elevator maintenance, service, and installation association and some of my competitors and I are thinking of forming a credit industry group in our area. How can we get started?
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STILL MAKING MANUAL BANK DEPOSITS.
Our company still makes manual deposits and other than a lock box at a bank, do you know of a another solution for us to make deposits more quickly?
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D&B CREDIT REPORTS
Do D&B credit reports actually tell you up to what credit limit you can feel comfortable selling to a customer?
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