Reduce Delinquencies, Enhance Cash Flow and Reward Good Payers
Just as credit card companies and other consumer creditors will report delinquent and timely payments to credit bureaus, so too can a community association. This is a new process that will force Condo and HOA members to re-evaluate the importance of their obligations to their community association.
Credit Bureau reporting can reduce delinquencies in community associations and may prevent defaults by owners. An owner who is considering paying one bill over the association’s maintenance fee will now reconsider. Since all members of a community are being reported, this service is also a boon to good paying owners, as they receive a good mark every month for timely payments.
Axela’s technology and credit reporting protocols are custom-izable to each community’s collections policy. This allows the Association and its members to rest assured that their own rules are being followed and enforced.
What If We Don't Have Delinquencies?
If your association doesn't have any delinquencies, we want to congratulate you on the excellent job you have been doing (and get you to tell us your secret!) You should reward your good paying owners with positive marks on their credit reports.
Community associations get new owners every month, so with this program you are assured that this good behavior will continue. Keep up the good work and let’s try together to keep the financial integrity of your association in excellent shape.
Benefits of Credit Reporting
Credit Reporting is one of the many tools that Axela provides its customers. Combined with our suite of products, Credit Bureau Reporting can:
Improve Cash Flow
Protect Property Values
Minimize Special Assessments
Increase Access to Association Loans
Axela will report payments made on time to the credit bureau as a positive credit to help improve credit scores and reward good paying homeowners.
Axela will report delinquent assessments to the credit bureau after 7 days of the due date. This action can affect credit scores and encourages owners to pay maintenance fees on time in the future.
How It Works
It’s up to the board of directors to establish a Uniform Collections Policy to determine what the parameters of when a unit is delinquent. We will dial in your policy and only report those delinquent units when the board determines they are in arrears.
The reporting process is fully automated and reliant on the information provided by the association or management company.
Axela has back-end integrations with various community association management software programs and these connections allows us to seamlessly aggregate the information required by the credit bureaus. This does not interfere with the management company or cause them any additional work. Management companies will receive a report every month.
Credit Bureau Reporting
Updated on 2020-01-28T04:31:38-05:00, by .