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Explore the comprehensive credit control policy of Maluti-a-Phofung Local Municipality for 2016/17, detailing procedures for service provision, billing, and debt management.
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What is credit control policy?
A credit control policy is a set of guidelines and procedures that an organization establishes to manage its credit risk and ensure the effective collection of debts.
Who is required to file credit control policy?
Typically, businesses that extend credit to customers, such as retailers and service providers, are required to file a credit control policy.
How to fill out credit control policy?
To fill out a credit control policy, an organization should outline its credit assessment procedures, collection procedures, and risk management strategies, incorporating relevant financial data and risk thresholds.
What is the purpose of credit control policy?
The purpose of a credit control policy is to limit financial losses by managing the company's credit risk, ensuring that debts are collected on time, and maintaining healthy cash flow.
What information must be reported on credit control policy?
A credit control policy should report information on credit limits, payment terms, collection procedures, customer assessment criteria, and procedures for handling overdue accounts.
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