Credit control and collection system:

is the system as part of

Telecom OSS helps in monitoring the risk of revenue of each customer for his
customer usage, payment done and actions will be taken on the customers to
mitigate the risk in automatic fashion without manual intervention.

What is Credit control?

Credit control is the process to monitors the usage of the customer and initiates the
appropriate action (barring of the services) on the customer once his limit is
breached.

What is Collection system?

Collection system monitors the customer bill payments and initiates the appropriate
actions (barring of the services) on the customers to have the payments from the
customer.
We will go into the detailed view of Credit control & Collection system after walk
thorough of the following ground principles which will gives the better
understanding.

What is the credit class?

Credit class defines the category of the customer and it is metric to determine the
maximum usage can be offered to the customer without taking any payment for
every month.
Credit class of the customer is defined during the customer acquisition based on the
customer income, profession, location etc.
In general credit class are classified in to following.
1. Enterprise (example: PBX connections for companies for internal
communications)
2. VIP ( example: famous actors , players , business heads etc)
3. Sector ( example: bulk connections to police , doctors etc)
4. Small enterprise (example: bulk connections for companies like Courier
agencies)
5. General public
Customer credit class will be revised based on his billed and payment history.

What is the bill cycle?

Whenever the customer is acquired as post paid then Customer will be assigned
with default bill cycle.
Bill cycle indicates the date on which customer billed amount is determined based
on his rental amount, usage amount, discounts and refunds / dues in consideration
for that month.
For each month, customer bill is generated on bill cycle date and dispatched to
customer either printed format (via courier) / electronic format (via email) with date
by which customer need to paid the bill.
If the customer is not paid the bill by the due date the late payment charges will be
collected from the customer.

How the credit control will be done by credit control

system:
1. Credit control system monitors collects the up to date usage (un-billed usage)
of customer for particular month on every day at regular intervals.
2. Credit system check the usage has exceeded s the maximum usage permits
for that customer as per his credit class.
3. If his usage limit has breached then credit system limit the services being
offered to the customer in chronological order as specified below and
customer will be communicated via SMS / e-mail to make the payment for
revoking of the services.
1. Voice customers
a. Outgoing will be barred.
b. In coming will be barred.
2. Data customers
a. Speed will be reduced ( if applicable)
b. Data browsing will be barred.

Collect system functionalities:

1. Collection system identifies the customers who have not done the payment until their due date.

2. Collection system allocates the dunning strategy to be followed for the customers who had not
paid the payment by due date based on the Customer class, type of the customer (voice / data),
customers age in the network and payment history etc.
3. Collection system sends the barring notices to the non-payment customer and these notices will
be send iteratively as remainders to customer on successive days from due date as per dunning
strategy to requesting for the payment until his payment is received.

4. Barring notices will be sending in the form of SMS / VMS / E-mail based the customer mobile
station and preferred mode of receiving of alerts.
5. Services of the customer will be barred in chronological order until customer made the payment.

1. Voice customers
i.
ii.
iii.
iv.

Outgoing will be barred with rental.

Outgoing barred without rental.
In coming will be barred.
Hot-lining ( i.e. Re-directing all calls of offending customers to
collection operator)
v. Disconnection of services

2. Data customers
i. Speed will be reduced ( if applicable)
ii. Data browsing will be barred.
6. If the customer has made the payment at any stage before the disconnection then, customer will
be revoked from dunning path (given above) and all his services will be restored.
7. If all the attempts to collect the customer payment has been failed the customer due amount will
be marked as bad debut to operator and sell off the customer due amount to collection agencies.

8. Bad debit will be assigned to specific collection agency from the registered collection agencies as
per the Customer category.
9. Collection agency will do the collection process and gives the percentage of collected revenue to
the operator as per the hand over (sell off) contract.

10. Operator will mark those customers as blacklisted and those customer numbers will not be
activated again and new connection will not be offered to those customers.