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BETR PROPERTY MANAGEMENT

CREDIT CONTROL PROCEDURE

The purpose of this procedure is to ensure that service charge and other sums due from leaseholders are collected in a consistent, transparent and timely manner. Effective credit control is essential to ensure that sufficient funds are available for the management, maintenance and repair of the buildings under management.

Service Charge Demands

Service charge demands will be issued prior to the commencement of the relevant service charge period and will be payable within 30 days of the invoice date unless otherwise specified in the lease.

Demands will normally be served by email where the leaseholder has provided consent for electronic service. Where consent has not been provided, or upon request, demands will be served by post to the correspondence address held on file. Details of payment methods will be provided on the service charge demand.

Leaseholders who have queries regarding their service charge demand should contact BETR Property Management Ltd within 30 days of the invoice date. Any undisputed element of the charge remains payable in accordance with the lease.

Credit Control Process

Where payment has not been received by the due date, the following credit control process will normally be applied.

Stage 1

First Reminder

If payment has not been received 7 days after the due date, a reminder will be issued to the leaseholder requesting immediate settlement of the outstanding balance.

Stage 2

Second Reminder and Administration Charge

If payment remains outstanding 14 days after the due date, a second reminder will be issued. An administration charge of £75 may be applied to the account to cover the costs associated with arrears administration, where permitted by the terms of the lease.

Stage 3

Final Reminder and Letter Before Action

If payment remains outstanding 30 days after the due date, a further administration charge of £125 may be applied to the account. A Letter Before Action will then be issued providing the leaseholder with 14 days to settle the outstanding balance before the matter is escalated for legal recovery.