A customer has missed a payment. What happens next?
If you are on the Guaranteed product, you will receive your monthly payments each month regardless of whether the customer has paid (providing they have passed the credit check we have checked the supporting documents). For any other product (excluding Full Finance) please see below.
If a customer misses a payment, we will be notified by the payment provider and therefore able to commence our collections activity to rectify the situation as soon as possible.
If the customer has a live direct debit set up, we will be able to re-attempt the failed payment. If they have cancelled the direct debit, we will contact them to find out what has happened.
We contact customers via telephone calls, emails, texts and letters.
There can be different reasons for failed payments. The customer may not have recognized our name on the bank statement and cancelled the direct debit in error. Although it is stated in the contract, it is always worth reiterating to the customer that it will be PayItMonthly FlexP on their bank statement to avoid any confusion.
A customer may have had an unexpected change in circumstances. This being the case, we will always try to work with the customer to accommodate them as best we can. If the customer needs to reduce their instalment amount for a time, we try to work with them, as it is better to set them up on a payment plan which they are able to afford and will pay; rather than demand the agreed payment amount which they will repeatedly miss as they do not have the funds. This way, albeit in smaller amounts, you will still be receiving your money.
If a customer has stopped paying due to a dispute, we will try to resolve this. We are happy to liaise with you and the customer and work out a resolution for both parties.
If a customer has just decided to stop paying and has no genuine reason for doing so, we will continue our collections activity. If this does not end in resolution, you are able to take legal action due to the legally binding contract with the customer. We can offer you this service if you choose to take this route. Fees will vary from case to case. To read more about our legal service, please click here.