Enforce it.
"Aw gee sir, it looks like you have a balance of $7 that's more than 30
days past due so the system shut you off automatically....I really wish
I could help you, but the computer just won't let me reactivate until
that little balance is clear. Sorry, I sure wish there was something
more I could do for you. I guess you might just have to start trying to
pay on time to make this dumb billing computer happy. I'm sooo sorry."
*rubs nipples*
------ Original Message ------
From: "Ken Hohhof" <af...@kwisp.com>
To: af@afmug.com
Sent: 6/28/2016 2:18:54 PM
Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
I found a high proportion of people would pay the bill, ignore the late
fee. Then you would have to decide whether to void it or enforce it.
Paperwork hassle either way.
From:Jeremy
Sent: Tuesday, June 28, 2016 1:05 PM
To:af@afmug.com
Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
Our late fee is $10....I thought that was low. I really would prefer
the people who pay late and constantly need special attention for
billing issues go elsewhere.
On Tue, Jun 28, 2016 at 9:25 AM, Lewis Bergman
<lewis.berg...@gmail.com> wrote:
Very good point Ken.
On Tue, Jun 28, 2016 at 8:40 AM Ken Hohhof <af...@kwisp.com> wrote:
If you bill for the previous month, count on not getting the last
month for at least half the customers who leave. I’m talking about
renters who move every 12 months, people who sell their house, etc.
That does affect your bottom line.
Also, if you turn someone off for nonpayment, and now they already
owe you for last month plus part of this month, it can become
tempting to just stiff you and find a new provider. I know one ex
customer that has gone through us plus 2 other local WISPs plus Rise
Broadband twice. I compare it to people who are under water on their
mortgage, they are actually money ahead to walk away or get
foreclosed. You don’t want your customer to owe you so much money
that it is in their economic best interest to switch providers and
not pay you what they owe.
From:Jim Bouse [Brazos WiFi]
Sent: Tuesday, June 28, 2016 7:23 AM
To:af@afmug.com
Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
In the end, it doesn’t matter if it is pre or post billing. It may
give you heartburn to see non-pays getting something for nothing for
a month but in the grand scheme of things, it makes no difference
because we have fixed monthly costs. If they pay or not doesn’t
affect our OPEX.
Jim Bouse
Owner
Mobile IT Pro - Brazos WiFi
979-985-5912
j...@brazoswifi.com
From: Af [mailto:af-boun...@afmug.com] On Behalf Of Lewis Bergman
Sent: Tuesday, June 28, 2016 6:15 AM
To:af@afmug.com
Subject: Re: [AFMUG] Postpaid vs Prepaid / Bill in Advance?
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
