CREDIT CONTROL & DEBT MANAGEMENT NCFE LEVEL 3

Student Profile
This programme is designed for people who wish to gain an understanding of principles and practice of controlling credit and managing debt in commercial organisations.

Objectives
The objectives of the course are to:
• 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

Study Pack 
Your study pack contains everything required to complete your course and no further purchases are necessary.

Assessment
This course is assessed through a series of tutor marked assignments. No attendance at an exams centre is required.

Accreditation
At 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. The course is provided in conjunction with Kendal Publishing Limited – a licenced NCFE centre.

Study Method
The course is designed for study by distance learning at work or at home.  Students receive course manual, assignments and studyguide plus tutor support by mail and email.  You can start at any time and plan your studies over a period of up to one year from the time of registration. 

Course Duration
Students may register at any time and have a full year to complete their studies.  The course will take around 80 hours of study to complete.

Support
Students receive tutor support for a full one year from registration plus unlimited access to the student helpline during working hours.

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
o Cutting down on credit
o Bad debts
o Sales discounts

Is my customer credit worthy?
o Credit application form
o Trade references
o Bankers references
o Credit checks
o Credit insurance

Credit control routines
o Terms and conditions of sale
o Interest
o Invoices
o Aged debt analysis and debt turn

Debt recovery through the courts
o The Courts and their powers of collection
o 3 track system – Full description in unit 2

Statutory demands, Insolvency and Bankruptcy
o Statutory demands
o Insolvency
o Winding up petitions
o Voluntary arrangements
o Administration orders

VAT and Tax relief for Bad debts
o What VAT relief is available?
o How to claim relief
o Tax relief

Unit 2 – Debt Management Agencies
Credit checking agencies
o An explanation of what credit checking agencies do
o The information they hold
o How to use their services.

Factoring companies
o A history of factoring,
o an explanation of how their products work
o The services they can offer.

Specialist Legal Services
o What services are on offer

o How to use their services effectively

The Courts
o How and when it is appropriate to use the courts
o Advice on applying for legal resolution
o The 3 track system
o Small Claims Track
o Fast Track
o Multi track
o Costs verses Settlement – Is it worth it?

Debt Collection Agents
o Bailiffs
o What are they?
o What are the costs involved?
o What are their collection powers?
o Sheriffs
o What are they?
o What are the costs involved?
o What are their collection powers?

o Private Debt Collections agents
o What are they?
o What are the costs involved?
o What are their collection powers?

Unit 3 – Communication
Telephone Communication
o Telephone skills
o Handling problems and objections
o Dealing with difficult customers and controlling anger
o How to gain commitment to pay

Written Communication
o When to choice written forms of communication
o Email verses letters – When is each format appropriate?
o Sample letters
o Request for payment
o Demand for payment
o Legal demand for payment

How to deal with customer responses
o Common responses and excuses
o How to reply to customer responses
o How to gain commitment