The credit risk of potential and current clients is of great concern to any business operating in South Africa. That is why credit reports are so important, in minimising your credit risk.
A client disappearing without paying his debt can be a huge blow to your cash flow.
There are ways of minimising this credit risk:
- Your company should have a proper credit application, one that is aligned with the National Credit Act of South Africa.
- You need to have thorough credit reports done on all potential clients, and randomly on current clients.
Kredcor performs the services above, and the way we do it, sets us apart from our competition:
- We align the credit applications of our clients with the NCA, also making sure you are covered in all events.
- Our credit reports are fresh, with ALL info verified on the day.
- Included with each credit report, is our conclusion on whether this potential client is a potential credit risk, or appears to be sound for business dealings.
- We verify various points of info, including:
- Director/ Member/ Owner details
- Bank code (fresh)
- References are contacted
- Default details (if any)
In the event of a client accruing bad debt with you, we can assist you with further actions against this debtor:
- We can default list the client, with your written permission
- We have access to trusted lawyers, who can proceed with legal action on your behalf. These lawyers will provide you with a quote, on all actions, so that there are no unhidden/ accruing fees.
In conclusion: Kredcor is able to take you through the whole credit process:
- Do a credit report on a potential client
- Collect bad debt from defaulting clients
- Default listing of unresponsive debtors
- Legal action against said debtors