Archive for March, 2007
Automated Payments is an Excellent Way to Collect Your Receivables
Pat McDavitt asked:
Everyday companies across America are realizing the benefits of automated payments. There are literally billions of electronic payments being processed each year through the ACH (Automated Clearing House) System. Since 1974 this nationwide network has provided business and government agencies with a fast, inexpensive way to move money.
In the same way that technology has had an impact on the way we live and work, so it has changed the way in which we make payments. Increasingly, we are choosing to use automated payments rather than paper based payments such as checks and bankers’ drafts.
In 2004 there were a record 4.8 billion automated payments (4.5 billion of those were processed by BACS). 93% of automated payments are bulk transactions generated by organizations and businesses both large and small and are: direct debits, used mainly to pay utility bills, life and general insurance premiums and various subscriptions; direct credits, used mainly for salary payments, pensions, annuities and child benefit.
The remaining 7% is made up of inter-bank telephone and online banking payments and standing order payments.
Even with the best intentions, some of your customers will have difficulty making every monthly payment to your office on time. You can continue spending a small fortune on sophisticated billing and collection systems, or you can switch over to one of the fastest growing methods for receiving monthly payments from your customers.
With proper authorization, you can collect money from your customers in one banking day, no matter where they bank in the United States (given funds availability). Gone forever are the days of manually processing payments. No longer will you wait for a check in the mail. No more printing or processing paper items. No time, money or administrative energy spent on doing things the “old way.” And, no more excuses for late payments.
These systems also include the use of Electronic Check Recovery. If a check or pre-authorized payment is returned for non-sufficient funds, your transaction will automatically be re-submitted. Not only does this ability save you time and money, it saves you and your customer the embarrassment of collecting the NSF items.
Virtually any business can benefit from electronic payments, including health clubs, home security companies, internet service providers, leasing companies, insurance companies, merchants on the Internet, wholesale distributors, catalog companies, collection agencies, phone companies, city utilities and many others. Your company is no exception.
What Are The Advantages of Automated Electronic Payments?
Timely Funds Settlement
Less Expensive than Mailing Invoices
Streamlines Your Billing Department
Built-in Recovery for NSF Items
No Cost for NSF Checks
Reliable Cash Flow
Custom Payment System Tailored to Your Business
Internet Payment Solutions
Ability to Take Checks Over the Phone
Direct Payroll Deposit
Software Available
No Cost for Special Equipment
No Customer is too Small
Imagine a future where all payments will be automated…Companies will simply collect the money owed to them by electronically debiting their customer’s bank account…Welcome to the future.
“Automated payments improves cash flow by eliminating the time lag between billing and payment, and saves invoice costs. It also spares clients the hassle of writing and mailing checks. There was a 100% increase in the number of checks cut since 1992 due to small-biz growth…”
Business Week Enterprise/June 22, 1998
Sell Structured Settlement
Everyday companies across America are realizing the benefits of automated payments. There are literally billions of electronic payments being processed each year through the ACH (Automated Clearing House) System. Since 1974 this nationwide network has provided business and government agencies with a fast, inexpensive way to move money.
In the same way that technology has had an impact on the way we live and work, so it has changed the way in which we make payments. Increasingly, we are choosing to use automated payments rather than paper based payments such as checks and bankers’ drafts.
In 2004 there were a record 4.8 billion automated payments (4.5 billion of those were processed by BACS). 93% of automated payments are bulk transactions generated by organizations and businesses both large and small and are: direct debits, used mainly to pay utility bills, life and general insurance premiums and various subscriptions; direct credits, used mainly for salary payments, pensions, annuities and child benefit.
The remaining 7% is made up of inter-bank telephone and online banking payments and standing order payments.
Even with the best intentions, some of your customers will have difficulty making every monthly payment to your office on time. You can continue spending a small fortune on sophisticated billing and collection systems, or you can switch over to one of the fastest growing methods for receiving monthly payments from your customers.
With proper authorization, you can collect money from your customers in one banking day, no matter where they bank in the United States (given funds availability). Gone forever are the days of manually processing payments. No longer will you wait for a check in the mail. No more printing or processing paper items. No time, money or administrative energy spent on doing things the “old way.” And, no more excuses for late payments.
These systems also include the use of Electronic Check Recovery. If a check or pre-authorized payment is returned for non-sufficient funds, your transaction will automatically be re-submitted. Not only does this ability save you time and money, it saves you and your customer the embarrassment of collecting the NSF items.
Virtually any business can benefit from electronic payments, including health clubs, home security companies, internet service providers, leasing companies, insurance companies, merchants on the Internet, wholesale distributors, catalog companies, collection agencies, phone companies, city utilities and many others. Your company is no exception.
What Are The Advantages of Automated Electronic Payments?
Timely Funds Settlement
Less Expensive than Mailing Invoices
Streamlines Your Billing Department
Built-in Recovery for NSF Items
No Cost for NSF Checks
Reliable Cash Flow
Custom Payment System Tailored to Your Business
Internet Payment Solutions
Ability to Take Checks Over the Phone
Direct Payroll Deposit
Software Available
No Cost for Special Equipment
No Customer is too Small
Imagine a future where all payments will be automated…Companies will simply collect the money owed to them by electronically debiting their customer’s bank account…Welcome to the future.
“Automated payments improves cash flow by eliminating the time lag between billing and payment, and saves invoice costs. It also spares clients the hassle of writing and mailing checks. There was a 100% increase in the number of checks cut since 1992 due to small-biz growth…”
Business Week Enterprise/June 22, 1998
Sell Structured Settlement
Pitfalls to Avoid When Selling Your Annuity or Structured Settlement
Bill Broich asked:
(c) 2008 Bill Broich
Want to sell your annuity or structured settlement? Here are some common mistakes to avoid.
1) Only talking to one funding company.
People considering selling their annuity or structured settlement are usually in a quick need of a cash lump sum. Whether they need the money to cover medical bills, make home mortgage payments, buy a new car, send a kid to college, whatever it may be. You generally need money and you need it fast. In a hurry, a person will usually call a number they find in a TV commercial or internet search and agree to the first annuity or structured settlement buy-out offer they receive. This is often a mistake. Funding companies are vicious competitors and by obtaining multiple bids from multiple companies you will earn a far better rate. The first offer will often not be the best offer. So, practice patience when evaluating offers. Get multiple bids. Shop around. Make them compete to win your business, and do not rush into the first offer you receive.
2) Not keeping the transaction all business
One trick any good salesman employs is to build personal rapport with a prospect. This isn’t necessarily a bad thing. It’s good to be friendly with the people you do business with. However, my advice with these transactions is to keep the dealings all business. Don’t let them in to why you need the money, your personal problems, nothing. You don’t want them to discover that you’re in great need of the money, or worse, desperate for cash. Weakness is often taken advantage of. By keeping a professional attitude and making them realize that you’re looking for the best offer and you’re in no rush to sell until you obtain an offer you find acceptable you change the sales dynamic to your favor.
3) Selling part of your annuity or structured settlement without regard to future payment stream
Believe it or not people forget that when selling only a portion of their annuity or structured settlement they reduce their future payment stream. So when the next payment comes they often realize that they can’t live off that monthly or annual amount and are forced into selling more. Do the math before-hand. Make sure the reduced payment stream after selling a portion is enough to sustain your current lifestyle needs.
4) Not seeking professional advice
Talk to your lawyer and accountant before taking any deal. Find out all tax consequences of transaction. Run all contracts by a good attorney before signing. The little it costs to obtain professional tax and legal advice could save you a lot of money and trouble down the road.
To recap: Talk to multiple funding companies, keep it professional, understand reductions of payment streams if you’re selling just a portion and talk to both an account and a lawyer to advise you through the transaction.
Sell Structured Settlement
(c) 2008 Bill Broich
Want to sell your annuity or structured settlement? Here are some common mistakes to avoid.
1) Only talking to one funding company.
People considering selling their annuity or structured settlement are usually in a quick need of a cash lump sum. Whether they need the money to cover medical bills, make home mortgage payments, buy a new car, send a kid to college, whatever it may be. You generally need money and you need it fast. In a hurry, a person will usually call a number they find in a TV commercial or internet search and agree to the first annuity or structured settlement buy-out offer they receive. This is often a mistake. Funding companies are vicious competitors and by obtaining multiple bids from multiple companies you will earn a far better rate. The first offer will often not be the best offer. So, practice patience when evaluating offers. Get multiple bids. Shop around. Make them compete to win your business, and do not rush into the first offer you receive.
2) Not keeping the transaction all business
One trick any good salesman employs is to build personal rapport with a prospect. This isn’t necessarily a bad thing. It’s good to be friendly with the people you do business with. However, my advice with these transactions is to keep the dealings all business. Don’t let them in to why you need the money, your personal problems, nothing. You don’t want them to discover that you’re in great need of the money, or worse, desperate for cash. Weakness is often taken advantage of. By keeping a professional attitude and making them realize that you’re looking for the best offer and you’re in no rush to sell until you obtain an offer you find acceptable you change the sales dynamic to your favor.
3) Selling part of your annuity or structured settlement without regard to future payment stream
Believe it or not people forget that when selling only a portion of their annuity or structured settlement they reduce their future payment stream. So when the next payment comes they often realize that they can’t live off that monthly or annual amount and are forced into selling more. Do the math before-hand. Make sure the reduced payment stream after selling a portion is enough to sustain your current lifestyle needs.
4) Not seeking professional advice
Talk to your lawyer and accountant before taking any deal. Find out all tax consequences of transaction. Run all contracts by a good attorney before signing. The little it costs to obtain professional tax and legal advice could save you a lot of money and trouble down the road.
To recap: Talk to multiple funding companies, keep it professional, understand reductions of payment streams if you’re selling just a portion and talk to both an account and a lawyer to advise you through the transaction.
Sell Structured Settlement