Ideas for the Mambu Banking Engine

Recovery of Written Off Accounts

What:
 
It should be possible to make payments to accounts which are in a written off state with a "write-off recovery" permission. The payments should be possible up to the total amount due remaining on the account and schedule, with a"Make Recovery Payment" button replacing current "Enter Repayment" one. Any amounts recovered should reduce the total due until it is eventually zero.
 
As accounts written off have been expensed on the GL we will need a new GL account in the product definition named "Write-off Recovery". All payments received on the account should be Debited against the selected channel and Credited agains the Write-off Recovery GL account defined at product level.
 
Why: 
 
Financial institutions frequently hand off accounts they write off to collection agencies for recovery. The institution is still responsible however for the total amount to recover from the defaulted client, so it needs to be able to give a statement to the customer, how much (total due) the client still owes the institution. 
 
Current workarounds with savings accounts and fees which have been suggested to customers are lacking the ability to give customers the remaining total amount due.
  • Monica Branzan
  • Jun 9 2016
  • Planned
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