Collections Improvement

The challenge:
Utility bad debt is increasing year-to-year, and some utilities have seen their bad debt write-offs rise by millions of dollars to over 0.5 percent of revenue. To combat bad debt, utilities are exploring collections best practice concepts that focus resources on customer accounts most at risk. Most utilities today understand best practice concepts but almost all lack the technology to adopt these practices fully. Traditionally, utilities have been dependent upon their billing systems to automate collections processes, and some have been waiting years for an opportunity to replace aging billing systems and business processes that stand in the way of implementing improved collection processes.

The service-with-software difference:
With service-with-software outsourcing, utilities can add meter-to-cash services that complement the CIS and business processes. First Data Utilities will manage and integrate the services, insulating utilities from the service integration headache.

With First Data Utilities’ service-with-software outsourcing, utilities can take advantage of specialist receivables tools that employ tailored treatment paths and industry best practice techniques to reduce bad debt, optimize cost-to-collect, and improve receivables cash flow.

Improved collections processes can reduce live agent call volumes, enabling them to concentrate on highest opportunity calls, apply the most effective and lowest cost contact methods based on segmentation and scoring, and apply the most progressive actions within jurisdictional requirements to improve collections.