Prebilling would be the preferred method I would think. We billed on the first and wanted to prebill. In the end, it probably didn't make a hug difference to the bottom line. I just liked the thought of limiting weekday someone got for nothing.
On Mon, Jun 27, 2016, 4:50 PM Ken Hohhof <af...@kwisp.com> wrote: > Exactly. > > And most communications services (phone, cable TV, etc.) are prepaid for > monthly charges and postpaid for usage based charges. > > > -----Original Message----- > From: Larry Smith > Sent: Monday, June 27, 2016 2:41 PM > To: af@afmug.com > Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance? > > If you do not "pre" bill for service, such as internet access, > there is little to no chance of collection after the fact if > they decide not to pay... We pre-bill for the "next" month > on the 20th, due by the 1st, suspend services on the 6th > for CC, ACH, etc (auto payments) that fail, then suspend > cash, check customers on the 10th. > > Our billing system handles this without issue (Freeside). > > -- > Larry Smith > lesm...@ecsis.net > > On Mon June 27 2016 14:35, Christopher Gray wrote: > > I've setup my billing so everything is expected to be paid before service > > is provided (prepaid). I send invoices in advance of a service cycle and > > they are due by the beginning of the service cycle. Early on, I convinced > > myself this was a good idea so I would never have to deal with > collections > > and it seemed fair. > > > > I'm working on switching billing systems, and the new system does not > > really operate that way. This has me wondering if my method is really a > > good one, or if there are good reasons to bill at the start of a service > > cycle. I've gone through my bills and others I have available to me, and > > very few actually bill in advance of a service cycle. > > > > Is there a good reason to avoid prepaid service or that companies tend > not > > to do it? > > > > -Chris > > >
