Unit of competency Outline

Date retreived
23/07/2026 12:05 AM AWST

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Manage and recover bad and doubtful debts

Manage and recover bad and doubtful debts

Unit of competency
National Code
FNSCRD403
State Code
AUQ74
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
25/03/2015
View on TGA
State Implementation and Classification
Approved Date
16/09/2015
Field of Education
080101 - Accounting
Original Release Date
16/09/2015
Nominal Hours
30
Description
This unit describes the skills and knowledge required to correctly identify bad debts, negotiate with customers and ascertain means of recovery using actions in line with relevant credit policy.It applies to individuals who work cooperatively with others using a range of managerial and negotiation techniques to facilitate debt recovery processes.Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.
Notes
Elements and Performance Criteria
1. Implement appropriate course of action to recover outstanding debt
  • 1.1 Review account history and determine appropriate recovery action based on account history
  • 1.2 Advise customers promptly of possible implications of outstanding debts and deal with any objections according to organisational guidelines and legislative requirements
  • 1.3 Document agreed payment arrangements accurately according to organisational system requirements
2. Monitor and review effectiveness of recovery action
  • 2.1 Review customer accounts for their adherence to agreed payment arrangements
  • 2.2 Identify customers’ non-compliance with agreed arrangements and manage in accordance with organisational guidelines
  • 2.3 Involve internal stakeholders in review and monitoring process as required
3. Re-assess account to determine eligibility for write-off
  • 3.1 Re-assess account to determine if it is appropriate for write-off as agreed payment arrangements have not been met
  • 3.2 Document recommendations for write-off and account closure, complying with legislation and organisational guidelines, that authorised personnel can action
No information
No information
Replaces
State Code National Code Title Type
D4085 FNSCRD403A Manage and recover bad and doubtful debts Unit of competency
Replaced By
State Code National Code Title Type
OEC02 FNSCRD413 Manage and recover bad and doubtful debts Unit of competency