The Late Payment Playbook

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The Late Payment Playbook

Continue reading

Tackling the Impact of Late Payments

In 2023, nearly 20 million U.S. households were behind on utility bills.1 While financial constraints are a common reason for late payments, other factors are just as significant. Research found that 60% of consumers admitted to paying a bill late,2 but most did so for non-monetary reasons. Many simply forgot to pay, were away without access to bills, didn’t receive their bill, or experienced other minor, avoidable issues.

Why Reduce Late Payments?

  • Cash Flow Management: Ensures funds for operational expenses
  • Cost Reduction: Minimizes costs of collecting late payments
  • Customer Relationships: Prevents penalties and shutoffs, maintaining positive relationships
  • Credit Risk Management: Reduces the risk of bad debts and defaults
  • Investment and Growth: Frees up capital for business improvements and initiatives

To support utilities, KUBRA has crafted an all-star playbook packed with defensive plays to prevent late payments and offensive maneuvers to swiftly collect overdue amounts.

Sources:

  1. Nearly 20 million households are behind on their utility bills, CNN, 2023
  2. Clicks, Taps, and Texts: Decoding Consumer Preferences in Digital Banking and Bill Payments, Lexop, 2024