Collection of levy arrears is becoming a hot topic. Cost of living pressure is seeing levy arrears blow out. Add to this political hot potato that some strata managers and their debt collection agencies have been going too hard with demands and penalty charges and its no wonder that collections procedures are under the microscope.
This week, we reviewed the template reminders and demands of one of the larger software providers and found them to be useless – no details of the amount of the debt, how to pay, and the consequences of not paying. We found they could be customised, and so we added details that give owners a nudge to do the right things like other owners in their block, and explain that interest and other charges will apply if payment is not made immediately.
We are also running a poll to find out from strata managers how effective repayment plans are in getting late payers back on track. Cast your vote here.
Michael Teys advises strata management businesses on improving profitability through professionalisation and streamlined operating systems.
He has more than 30 years’ experience as a strata lawyer and academic and has owned 11 strata management agencies throughout Australia. He has a Master of Philosophy (Built Environment) and Bachelor of Laws. He lectures and writes widely about strata management issues in Australia and internationally.
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