Paying Late Hurts Everyone

 

Recently I asked Pam Gaffin, our Assistant Customer Service Manager at NWWSD to write about the effects of late payments. I think she does a great job of explaining the real costs of late payments- enjoy her blog!

Jerry

I am so glad Jerry asked me to write this guest blog. I know that in this day and age, it’s stressful keeping a budget and paying bills on time. But I’m sure you all agree, budgetingthere are effects when bills are paid late!

When a customer pays their utility bill late it affects everyone. The biggest impact is the financial impact, both to the customer and to the organization.

For the organization, when a utility bill isn’t paid by the due date, a penalty must be applied and a penalty bill printed and mailed. This requires employee labor and duemailing and postage charges.

If the penalty bill still isn’t paid then it creates even more labor hours for employees to complete all the steps required for the shut off process: A reminder phone call is made two days before the scheduled shut off, and then employees incur overtime to come in early on the shut off day to generate and compile the shut off list. Meter technicians incur traveling costs in order to travel to houses to turn service off then have to make another trip to turn service back on after payment is made. Meter technicians also incur overtime on shut off days to stay later to get service turned back on for customers.

The most important impact though is on the customer. The customer incurs the following:

  • Penalty charges of 10% or $5 whichever is larger.
  • More bills to have to take care of and keep straight, which can cause confusion.
  • Damage to their pay history with the district.
  • Potential interruption of service.

If service gets to shut off status, the customer will additionally incur the following:

  • A $30 charge and the requirement that the past due amount be paid immediately with no payment agreement allowed.
  • A loss of water service.
  • Risk of a potentially embarrassing situation.

The end result of all this is that paying late hurts everyone.

Please contact customer service anytime at 877-354-9090.

We would love to help you with any issues, and especially with issues regarding payments!