Credit control means confidence in extending credit terms to customers, and avoiding losses due to customers failing to pay. Credit control aims to both;
Credit control is also called credit management, or credit risk management.
We believe effective credit control happens before someone fails to pay. To judge a customer's creditworthiness we rely on available credit checks (we have an account with credit rating agencies), and our processes typically include taking up references for businesses. From this we can draw up recommendations of how much credit to extend, although the final decision always rests with you, the client. Once an invoice is sent we will track payments against the agreed terms and where necessary issue statements and letters chasing late payers. We will also keep you updated on the progress of recovery from any late payments.
Before you agree credit terms with a customer, give us the details. We will give you an indication of potential creditworthiness within 3 days, and take up references for them if you agree we should do so. We then send you a recommendation on how much to offer and for how long; the final decision always rests with you.
Once credit terms are agreed we will update our systems and monitor payments against the credit terms issued. We will send out statements as payments become due and chase late payments with a letter or email. Finally, as soon as a payment becomes overdue, we will ensure you're aware and continue to update you.