Procedure: 5-2

Effective: July 2, 2001

Owner: University Comptroller

Latest Revision: June 30, 2001

Processing Delinquent Accounts

Procedure Steps

Scope | System References | Policy | Responsibility | Distribution | Ownership

Scope

This procedure covers the proper way to process delinquent accounts that are not part of Oracle's Accounts Receivable module.  This procedure is directed at individual debts that are handled in the Integrated Student Information System (ISIS).

Note:  All costs of collection will be absorbed by the debtor, or the referrer if the debtor has no obligation for collection costs.

This procedure does not cover Hospital patient receivables.

System References [Top]

Policy [Top]

This procedure corresponds to, and should be read in conjunction with, Credit and Collection--Policy V.B.2.

Responsibility [Top]

The department accounts receivable specialist is responsible for due diligence in collecting monies due to the University, and for forwarding uncollected receivables to Student Financial Services for further collection action.

Student Financial Services is responsible to act as agent for the University in the collection of delinquent receivables that are not processed by the Accounts Receivable Department throught the Oracle A/R module.

Distribution [Top]

Department Accounts Receivable Specialist
SFS Delinquent Accounts Specialist

Ownership [Top]

The University Comptroller is responsible for ensuring that this procedure is necessary, reflects actual practice, and supports University policy.

Procedure Steps [Top]

Responsibility
Action
 
Department
1.
Issues a minimum of two bills before account is 60 days past due.
 
 
 
2.
Forwards delinquent accounts to SFS section. See Procedure
5-3 "Completing Departmental Referral Form (UT-267) Online.
 
 
SFS
3.
Prepares and mails the first Section University bill.
 
 
 
4.
Places a hold on grades transcript for current and former students if total outstanding obligations are $5 or more.
 
 
 
5.
Blocks registration of individuals with outstanding obligations who attempt to enroll as students.
 
 
 
6.
Suspends currently enrolled students and places a hold on their transcripts, if total of outstanding obligations totals $50 or more.
 
 
 
7.
Refers accounts to the State for offset against State income tax refunds under the set-off debt collection process.
 
 
 
8.
Reports debtors to credit bureaus, Section if deemed cost effective.
 
 
 
9.
Refers account to a collection agency, if deemed cost effective.
 
 
 
10.
Initiates litigation action against debtors, if deemed cost effective.
 
 
 
11.
Disposes of delinquent account by collection or write-off. See also Policy V.B.2, "Credit and Collection."
 

Maintained by University Comptroller
2001 by the Rector and Visitors of the University of Virginia. All rights reserved.