Unit of competency Outline

Date retreived
22/07/2026 10:47 AM AWST

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Implement debt recovery procedures

Implement debt recovery procedures

Unit of competency
National Code
LGAGOVA405A
State Code
C3825
TGA Status
Deleted
DTWD Status
Deleted
Current Release Number
2.00
Current Release Date
11/09/2012
View on TGA
State Implementation and Classification
Approved Date
25/01/2002
Field of Education
091199 - Justice And Law Enforcement, N.e.c.
Original Release Date
25/01/2002
Nominal Hours
20
Description
This unit covers recommendations on action to be taken to recover or write off debts.
Notes
Elements and Performance Criteria
1 Negotiate to obtain payment of debt
  • 1.1 Information regarding whereabouts and individual circumstances of debtors is accessed in line with council procedures and legislative provisions.
  • 1.2 All relevant customer details are confirmed.
  • 1.3 Special arrangements for payment of debt are negotiated with debtors where possible to maximise probability of recovery of debt.
  • 1.4 Agreements are documented, followed up and renegotiated as necessary.
  • 1.5 Agreements are reviewed as necessary to take into account changes in debtor circumstances.
2 Recommend action on bad debts
  • 2.1 Reported bad debts are analysed to determine appropriate debt recovery method.
  • 2.2 Value of bad debt is assessed against potential cost and likelihood of recovery.
  • 2.3 Appropriate action is recommended based on council policy and capacity to pay.
  • 2.4 Doubtful debts are provided for at end of year, backed up by evidence.
3 Take legal action as required
  • 3.1 Proceedings are instigated within delegated authority and in accordance with council policy and procedures and legislative requirements.
  • 3.2 Disclaimers are included on rates notices as appropriate.
  • 3.3 Information to support court action if required is prepared clearly, accurately and within time frame.
4 Report on debt recovery
  • 4.1 Annual timetable is prepared for the issue of instalment and other notices.
  • 4.2 Reports on debt recovery performance are submitted in accordance with Council requirements.
  • 4.3 Style of report is consistent with purpose and intended audience.
  • 4.4 Recommendations on policy changes and new policy development are made based on legislative requirements and improved debt recovery practices.
The Range Statement relates to the Unit of Competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording in the Performance Criteria is detailed below.
Information regarding debtors may include:
current address
financial situation
history of payment
responsibility for debt
status of debt (current or non current)
status of creditor (secured or unsecured)
Accessing information may include:
advertising in local media
council business papers
information proffered
questioning other people
electronic or hard copy white and yellow pages
land titles office
electoral rolls
company searches
property inspections and visits
Relevant customer details may include:
correct name, address and telephone number
other contact details
Debts may include:
rates
fines
valid accounts issued for provision of goods and services
Negotiate may include:
take initiatives
provide support reasons
consider suggestions of others
respond appropriately
Documenting agreements may include:
diarising
notes
memos
formal agreements
Changes in debtor circumstances may include:
changes due to government policy, particularly in relation to pensions
Assess value against cost may include:
minimum amount warranting legal action for recovery
Appropriate action may include:
abandonments
writing off
sale of land for unpaid rates
payment by special arrangement
court action
involving an outside debt recovery agency
involving an outside printing or mailing house
issuing summons
issuing judgements
issuing writs
garnishee
tracing owners
in-house debt recovery
rent for rates against tenants
Other notices may include:
reminder notices
final notices
notices prior to legal action
notices of legal action
follow up notices
summons
writs
Overview of assessment requirements
A person who demonstrates competency in this unit will be able to perform the outcomes described in the Elements to the required performance level detailed in the Performance Criteria. The knowledge and skill requirements described in the Range Statement must also be demonstrated. For example, knowledge of the legislative framework and safe work practices that underpin the performance of the unit are also required to be demonstrated
Critical aspects of evidence to be considered
Selection of debt recovery method is based on council policy and capacity to pay.
Accurate reporting of debt recovery is in line with council requirements.
Implementation of appropriate debt recovery action is timely.
Follow up is timely.
Special arrangement agreements are maintained and reviewed.
Context of assessment
Selection of debt recovery method is based on council policy and capacity to pay.
Accurate reporting of debt recovery is in line with council requirements.
Implementation of appropriate debt recovery action is timely.
Follow up is timely.
Special arrangement agreements are maintained and reviewed.
Method of assessment
The following assessment methods are suggested:
observation of the learner performing a range of workplace tasks over sufficient time to demonstrate handling of a range of contingencies
written and/or oral questioning to assess knowledge and understanding
completion of workplace documentation
third-party reports from experienced practitioners
completion of self-paced learning materials including personal reflection and feedback from trainer, coach or supervisor
Evidence required for demonstration of consistent performance
This unit should be assessed over a period of time and across a range of variables including end of year arrears reports.
Resource implications
Access to a workplace or simulated case study that covers key aspects of debt recovery process including:
resources on debt recovery methods
council policy and procedures
legal principles, requirements and processes
No information