Collection Processing
PeopleSoft Receivables enables you to monitor a customer's account and take action when a condition occurs. You define the conditions that put a customer in an action plan, including:
When the amount and age of the balance past due reach a specified limit.
When the outstanding balance reaches a certain dollar amount or percentage or exceeds the customer's credit limit.
When a customer reaches a specified number of days from the credit expiration date or passes the date.
You have a message with credit hold for a customer.
A large amount is coming due.
A conversation entry has reached the follow-up date or a new follow-up action has been entered.
All promise date conversations that require follow up.
Promise has been broken based on promise amount not paid on promise date and taking into consideration the promise tolerances.
The customer has a high risk score.
A deduction or dispute item exists.
If the amount and age of the customer's balance past due reach a specified limit, the Condition Monitor process generates an action plan based on the collection rules that you define.
In addition, when you run the Condition Monitor process, the system will evaluate each promise date conversation based on these conditions:
The CPDR (Customer Promise Date Review) condition will create an action list for all promise date conversations requiring follow up.
The CPDB (Customer Promise Date Broken) condition will evaluate if a promise has been met based on payments on item referenced in the promise date conversation. The promise tolerance days and promise tolerance amount will also be evaluated. If the promise date + tolerance days is met and the total payment is equal or greater than the promise tolerance amount, the condition will set the promise status to Kept and close the promise date conversation. If the promise date + tolerance days is met and total payment is zero or less than the promise tolerance amount, the condition will set the promise status to Broken and create a broken promise action list. If there is no item referenced in the promise date conversation, the CPDB condition will only evaluate whether the promise is kept or broken based on the promise date and promise tolerance days.
The CPDB condition will also close the promise date conversations that meet these criteria:
The promise status is set to Broken with no promise date action, and does not have a review scheduled after the promise date.
The Promise Broken Done flag set to Yes and does not have a review date after the promise date.
You can access the Action List on the Collections Workbench.
For any other customer conditions, the condition monitor generates an action plan based on the assessment rules that you define.
See Understanding Exception and Collection Processing Options.
See Action List.
You can define any additional conditions that are applicable to your organization and define assessment rules to generate an action plan. You can define rules that create actions at the customer level or actions for individual items.
These steps define the process flow for collection processing:
Run the Condition Monitor process to: generate new action plans, upgrade the customer to the next step in the collection action plan, update action lists, perform automated actions, cancel actions if the condition no longer exists.
Note: The Condition Monitor process calls the WF_FUNCTION, which triggers workflow processing that sends notification to supervisors, AR specialists, and action owners; if an action has reached a specified number of days before or after the action due date. This enables them to work or reassign the action if necessary.
Action owners perform assigned actions from the PeopleSoft worklist, the action owner list, or e-mail notifications, such as calling the customer, putting a credit hold message on the customer, downgrading the customer's credit rating, writing off the customer's balance, or generating customer correspondence.
Manage future-dated entries in an action plan for a customer by canceling the action, moving the action to the customer action list, or changing the action plan parameters.
Run the Condition Monitor process again to generate statements, dunning letters, or follow-up letters for customers on the action list with an action status for the correspondence type of Pending.