9.2 Creating a Collection Agreement

Purpose: Use this document as a reference for creating and reversing a collection agreement as well as potential error conditions.

Audience: Student Financials Collections Staff

Creating a Collection Agreement

Navigation:  Student Financials > Collections > Collection Agreement

Navigation: Student Financials > Collections > Collection Agreement

  1. Select the Add a New Value tab.
  2. Enter the Business Unit and ID.
  3. Keep the Contract Number as NEXT.
  4. Select the Add button.
Collection Agreement Add a New Value Tab
  1. On the Collection Agreement tab, enter the First Bill Date.
  2. Select a billing frequency in the Billing Cycle dropdown.
  3. Enter the number of installments in the Payments field.
  4. Select Credit Original Account from the Pay Plan Type from the dropdown.
  5. In the Account Type field, enter PPL (Payment Plan).
  6. Reference Number is optional.
  7. In the Due after Days field, enter the number of days after the billing date that the installment is due.
  8. The Adjustment Option field determines how to distribute any changes in the installment amount across the remaining installments:
    • Adjust Equally: Distributes increases equally among the unbilled installments.
    • Adjust Last: Adds increases to the last unbilled installment.
    • Adjust First: Adds increases to the first unbilled installment.
    • Do Not Adjust: Does not allow increases.
  9. In the Item Type field, enter or select the item type for the installment charges.
  10. In the Pay Item Type field, enter or select the item type that offsets the student’s existing charges.
  11. Select the charges to be included in the collection agreement by checking the checkbox before each charge indicated on the data sheet. Conversion items will not be eligible for Collection Agreements (but are shown in this example).
  12. Select the Calculate button on the top right of the page.
Collection Agreement tab
  1. The Collection Agreement Assess tab is used to assess a fee for the agreement (optional).
  • Type of Assessment: Payment Plan Fee is typical. Other options are Percentage of Payment Plan or Monthly Interest Rate
  • Payment Plan Fee: Enter a dollar amount.

Or

  • Percentage of Payment Plan: Enter the percent to charge based on the dollar amount of the payment plan.

Or

  • Monthly Interest Rate: Enter the monthly interest rate.
  • Assessment Fee Split: Select an option from the drop down.
  • Assessment Item Type: Select Payment Plan Charge from the list of values.
Collection Agreement Assess tab
  1. Review the data on the Payment Distribution tab to see how the amount will be assessed over the time period with the due dates.
  2. On the Collection Agreement tab, select the Post button.
Payment Distribution tab
Reversing a Collection Agreement

Navigation:  Student Financials > Collections > Collection Agreement

  1. After the collection agreement has been posted to the student’s account, the Reverse checkbox becomes available to the right of each charge that was included in the agreement.
  2. Check the Reverse checkbox and select the Calculate and then Post buttons to reverse the collection agreement and return the student’s account to its prior condition.
Collection Agreement tab Reverse checkbox highlighted
Error Conditions

After Calculating and Posting leave the page.  If you linger and forget you have calculated and posted, and hit calculate and post again with the same check boxes. It will double post the charge and credit. Making the account messy.

If you want to add charges to a collection agreement (Parking Ticket for example), you can leave the page then come back, and charges already in collection agreement should say “Paid”.

Collection Agreement tab with Paid next to account number
  1. Assign the Collection Agreement communication by navigating to the Update Customer Collection page (Student Financials > Collections > Collection Effort > Update Customer Collection).
  2. Add a new Activity row by selecting the [+] plus button if necessary, or to go to the most recent one (hit Last).
  3. Enter the Collection Agreement Letter code into the Letter Code field.  Bx7  (BG7 for Clark).  
  4. Select the Save button, then the Collection Agreement Letter is assigned. (This bypasses Speedkey/Event ID and assigns based on the Business Unit Collection parameters.)
Collection Information tab Letter Code highlighted
  1. Communication Generation will run the Batch 3C's process for Past Due Letter 2. This person should not get picked up, because they have a collection agreement, with the Collection ID variable data for this particular Past Due process.
Collection Agreement Letter
  1. If the Collection ID on the Collection agreement Letter did not match, it would mean it was from running a prior Past Due process and a Past Due Letter would be assigned.
Past Due Assigned Run Control
  1. Only 2 results are produced in this example. This process can run for PstDue2 once Tmplt Assign Dt is greater than 30 days ago. (07/27/19)
Business Unit Collection Agreement, Past Due
Person Communicaton tab

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