Introduction

This documentation introduces a new feature, which allows for the withholding of a certain amount from a customer's payment based on their days in arrears (late payments). This feature, also known as the "Arrears Withholding" or "Ontime Withholding" feature, is designed to help recover outstanding balances from customers who are behind on their payments.

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On the customer's account landing page, the "Withholding Amount" button can be found in the left-hand sidebar, within the Account section.

Business objectives

The primary objectives of introducing the Arrears Withholding feature are to improve portfolio management and increase operational efficiency.

Roles and Permissions:

An admin/back-office user can select any customer to set their arrears/on-time withholding amount, which determines the percentage of the customer's payment that will be withheld to recover outstanding balances.

Acceptance criteria

If a customer is late/defaulted/normal (behind on payments), the minimum requirement for switch-on (service activation) must be reached before the withholding amount is applied. This ensures that a portion of the customer's payment is allocated towards maintaining service, while the remaining amount is subject to the withholding policy.

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There should be a bulk option available for administrators/back-office users to update the withholding amounts for multiple customers simultaneously, streamlining the process and improving efficiency.

Example

A customer with a $2 daily rate, a 2-day minimum for switch-on, and a 30% arrears withholding policy makes a $5 payment. The following steps occur:

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