Debt Collection Models and Their Using in Practice
An important element of a companyís credit policy is its attitude to collecting due receivables. A company tries to establish the rules of collecting the said amount within the standards that are applied in a company. Depending on the organizational structure of a company, its scope of activity, com...
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| Format: | Article |
| Language: | English |
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University of Economics and Human Sciences in Warsaw
2007-03-01
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| Series: | Contemporary Economics |
| Online Access: | http://ce.vizja.pl/en/download-pdf/id/9 |
| _version_ | 1797641922111602688 |
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| author | Anna Wodyńska |
| author_facet | Anna Wodyńska |
| author_sort | Anna Wodyńska |
| collection | DOAJ |
| description | An important element of a companyís credit policy is its attitude to collecting due receivables. A company tries to establish the rules of collecting the said amount within the standards that are applied in a company. Depending on the organizational structure of a company, its scope of activity, common practices and, in particular, the credit policy assumed by a company, enterprises use internal, external or mixed debt collection models. Internal debt collection model assumes conducting debt collection activities within the organizational structure of a creditor company. External debt collection consists of ordering debt collection activities at a specialised company that handles debt service (outsourcing), which is connected with acting on behalf and account of the ordering party, but it also consists of receivables trading. The choice of proper debt collection model is not easy, due to, among others, high costs of the process as well as necessary expertise knowledge in the said scope; and the products offered on the market, although they seem similar, do differ substantially among one another. Regardless of the debt collection model, it shall be remembered that debt collection shall be run in a manner that ensures consolidation of entrepreneurís good name and their market position. The debt collection procedure binding in a company shall serve to work out a cooperation model with clients that are based on buyerís reliability. |
| first_indexed | 2024-03-11T13:52:41Z |
| format | Article |
| id | doaj.art-c49212442b4f4882bafa0fd843b4954d |
| institution | Directory Open Access Journal |
| issn | 2084-0845 |
| language | English |
| last_indexed | 2024-03-11T13:52:41Z |
| publishDate | 2007-03-01 |
| publisher | University of Economics and Human Sciences in Warsaw |
| record_format | Article |
| series | Contemporary Economics |
| spelling | doaj.art-c49212442b4f4882bafa0fd843b4954d2023-11-02T08:08:54ZengUniversity of Economics and Human Sciences in WarsawContemporary Economics2084-08452007-03-01111154Debt Collection Models and Their Using in PracticeAnna WodyńskaAn important element of a companyís credit policy is its attitude to collecting due receivables. A company tries to establish the rules of collecting the said amount within the standards that are applied in a company. Depending on the organizational structure of a company, its scope of activity, common practices and, in particular, the credit policy assumed by a company, enterprises use internal, external or mixed debt collection models. Internal debt collection model assumes conducting debt collection activities within the organizational structure of a creditor company. External debt collection consists of ordering debt collection activities at a specialised company that handles debt service (outsourcing), which is connected with acting on behalf and account of the ordering party, but it also consists of receivables trading. The choice of proper debt collection model is not easy, due to, among others, high costs of the process as well as necessary expertise knowledge in the said scope; and the products offered on the market, although they seem similar, do differ substantially among one another. Regardless of the debt collection model, it shall be remembered that debt collection shall be run in a manner that ensures consolidation of entrepreneurís good name and their market position. The debt collection procedure binding in a company shall serve to work out a cooperation model with clients that are based on buyerís reliability.http://ce.vizja.pl/en/download-pdf/id/9 |
| spellingShingle | Anna Wodyńska Debt Collection Models and Their Using in Practice Contemporary Economics |
| title | Debt Collection Models and Their Using in Practice |
| title_full | Debt Collection Models and Their Using in Practice |
| title_fullStr | Debt Collection Models and Their Using in Practice |
| title_full_unstemmed | Debt Collection Models and Their Using in Practice |
| title_short | Debt Collection Models and Their Using in Practice |
| title_sort | debt collection models and their using in practice |
| url | http://ce.vizja.pl/en/download-pdf/id/9 |
| work_keys_str_mv | AT annawodynska debtcollectionmodelsandtheirusinginpractice |