The StrataFin Credit Committee will assess a debt purchasing request from a Managing Agent, Body Corporate or Home Owners Association based on the following criteria:

• Up-to-date age analysis detailing the total outstanding levies and amounts due.

 

• Detailed ledger accounts of the individual debtors; dated from when the arrears (money owed) arose to current.

 

• Unit numbers, as per SG (Surveyor General) Diagram and/ or title deed, in respect of the units owing money.

 

• Owner details in respect of the units owning money

 

• Full names

 

• All contact details

 

• All postal details

 

• All residential details

 

• Registered conduct rules of the Body Corporate or Home Owners Association.

 

• AGM (Annual General Meeting) notices and budgets for the periods involved in respect of the outstanding levies

 

• Minutes of the AGM’s for the periods involved in respect of the outstanding levies.

 

• Minutes of the Trustees meetings after the conclusion of the AGM’s confirming the raising of levies.

 

• Proof letters sent out to owners confirming the raising of levies.

How do we evaluate debt purchase and factors taken into consideration on the debt purchase:

• The age of the debt

 

• The amount outstanding

 

• Value of the unit

 

• Legal compliance by Body Corporate or Home Owners Association

 

• Location and value of the complex

 

• Relationship between outstanding amount and value of unit

 

• Reason for non-payment

What will be done by the credit committee in it’s assessment of the outstanding debt?

• All the required documents will be thoroughly assessed.

 

• Desktop valuation of the unit.

 

• Assessment of the overall condition of the complex/ building.

 

• The owner may be contacted to further understand the reason for non-payment.

 

• All of this information will be critically analysed in accordance with the StrataFin model.