Paying Electric Bill with Cash Advance

Previous post was discussing about paying the electric bill with credit card. The idea is to make a payment before due date to avoid the hassle of disconnection done by the electricity company. Recent movement of electricity companies is to shorten the due date to collect money faster. It is a strategy to reduce the commercial cycle (reading-billing-collection). Aside from collecting money faster, they tend to do the disconnection as soon as the due date is past. This is to reduce the commercial loss of giving electricity to non-paying customer.

Paying with credit card could be convenient but when your credit card gets the limits, and you are facing with the approaching deadline of paying your electricity bills, there are other alternative for paying the bill.

Try to get cash advance could be a solution. In the end, you do not need to loan much money just to cover your electricity bill payment. There are much institution that could offer payday loans. Some could offer an online approval that is very convenient as compared that you need to submit the application form by coming to their office. Once approve, the money is wired directly to you savings account.

Paying Electric bill with cash advance is similar to paying it with cash. Once you got the money, you could either

Standard Reports for Customer Management System in Utility Company

The module “Reporting or Management Information System” should provide comprehensive information concerning the Commercial activities necessary for the company’s management. The functions “Alarms” and “Inquiries” can serve this purpose.

Alarms serve to monitor selected indexes, which are important for the company’s management. The indexes have flag-shaped labels, whose colour changes depending on the reached index value according to pre-set limits. These alarms make it possible for the responsible employees to quickly establish what Commercial areas are trouble-free and, on the contrary, which ones present an unfavourable development allowing them to take the necessary measures.

Inquiries display comprehensible information about the selected Commercial management area of the Distribution Company and can be displayed in text or graphic form. Selecting information can be restricted to specific periods, query types and other conditions (the different types of queries are described later in this chapter).

To provide the necessary information, the module should use of the following queries:

1. METER READING PROGRESS
This query displays information about the service point-readings that have to be or have been processed by the readings module within the selected period. This query displays the number of service points planned for reading in the selected period, the number of service points for which a theoretical reading date has been Generated, the number of already read service points, as well as the ratio Readings – theoretical reading date, and the ratio Performed readings – total number of planned readings.

2. METER READING QUALITY
This query displays the results of the readings performed in a specific period of time. The first to appear is the total number of readings with the respectively Generated theoretical reading date. It also specifies the number of real and exceptional readings, of not-performed readings due to customer absence, and the total number of not-performed readings.

3. DAILY AND MONTHLY BILLING
This query displays the daily billing course, namely the number of billed supplies as of a specific day, billed amount usage, the advance billed amount, the ratio Supply billed by usage estimation – total billed usage.

4. MONTHLY BILLING
This query displays the following monthly billing information: number of billed supplies, total billed usage in local currency, volume of billed technical units in local currency. This query has two windows. The second one contains the billing details: the total arrears/overpayments, the usage billed amount, the billed fixed charge, the billed miscellaneous charges, the VAT included in the prices and the advance billed amount.

5. ANALYSIS OF REALISED BILLING
This query allows viewing the information once the billing has taken place. This information includes the total number of processed supplies, the number of supplies billed according to reading and according to estimation, the number of exception bills, the total billed usage, the total billed amount and the billed advances.

6. ANALYSIS BY TYPE OF BILLING OF ISSUED PD
This query displays all the information concerning the types of bill rules other than energy usage bills, indicates temporary supply bills, contract charges, frauds, miscellaneous charges, instalments, advance collection, deposits, etc. within a specific period.

7. BILLING EXCEPTIONS PROGRESS
This query display the exceptions registered in a specific period of time, their settlement and the average settlement time.

8. ANALYSIS OF REALISED PAYMENTS
This query displays the initial (at the beginning of the monitored period) amount of the outstanding bills, of the bills sent for collection in the course of the period, of the bills collected in the course of the period, as well as the outstanding bills balance at the end of the monitored period.

9. COLLECTION LENGTH
This query allows monitoring the duration of the different collection stages for the different bill types in days.

10. DEBT ANALYSIS I.
This query allows monitoring the outstanding claims (debts) in the different bad payers management stages, namely as for their number, percentile constitution or amounts in local currency within a specific period of time.

11. DEBT ANALYSIS II.
This query allows monitoring the percentile development (growth or reduction) of claims, namely as for their number and amounts in local currency within a specific period of time.

12. DELINQUENT ACCOUNT ANALYSIS
This query allows monitoring the bad payers management process and its effects, i.e. the number of disconnection notices, disconnections, reconnections, bad claims, legal recoveries and deprecations.

13. COMMERCIAL CYCLE LENGHT
This query displays the average duration of the whole “reading, billing, sending for collection and collection” Commercial cycle within a specific period of time.

14. CONTACTS ANALYSIS
This query allows monitoring the development of the number of contacts as for their settlement time, speed, type (justified and unjustified) and their duration.

15. SERVICE ORDERS PROGRESS
This query displays the number of service orders, specifying the number of unsettled orders at the beginning of the monitored period, the increase of new orders, the amount of orders settled and canceled within the period, as well as the promptness of their settlement and their duration.

16. REQUESTS PROGRESS
This query displays information concerning the supply requests within a specific period of time. The issue here is, for instance, the following information: number of unsettled requests at the beginning of the period; number of filed, settled and cancelled requests within this period; the average number of settlement days and the duration of the requests in the system, as well as the number of unsettled requests at the end of the period.

17. CONTRACTS PROGRESS MONITORING
This query displays information about the number of valid power supply contracts available in the system at the beginning of the monitored period; the number of contracts created, edited and terminated within this period, and the number of valid contracts at the end of the period.

18. STATISTICS OF BUSINESS ACTIVITY
This query provides information about the amount on-line operations performed at the different Commercial offices, monitoring the different types of Commercial activities both in absolute and percentile expression.

Reducing Commercial Cycle Duration

Reading - Billing - Collection is a normal Commercial Cycle for Utility Company. The duration to complete one full cycle is important for the cash flow of the company. The lesser it takes, the faster that the money can be collected over the consumptions used by customers.

Old fashion Utility company often forget the important of short Commercial Cycle Duration. Let us say that the electricity company produces a bill monthly. Most of the old fashion utilities company will spend the whole month reading customer's meters, resolve some anomalies/exceptions and bill all the services at the end of the months. By doing this, the company has an average of 15 days for its commercial cycle.

Why? Because the customers read on 1st day will get their bill on the 1st day of next month, while the customers read on 30th day will also get their bill on the 1st day of next month. Thus, the average will be 15 days more or less. What does 15 days commercial cycle means? It means that in average, that electric company will collect the money 15 days after the customers have consumed the electricity.

For us, it might not mean a lot. But for an electricity company whose revenue is million and million of dollars, this 15 days delay means something. Upper management of utility company should start thinking the best way to reduce the commercial cycle. One ideal set-up is to have daily cycle, where the customer is read and at night, the bill is produced and ready for delivery and collection the next day. This case, the commercial cycle will be reduced into 1 day. This is assuming that there is no anomalies or exception on that bill.

Reducing commercial cycle is not an easy task as it will affect the core business process of utility companies. In depth analysis and study should be paid attention to understand the risk of implementing the changes. Customers can be affected as well if they are not properly informed. Always put a team for change management to do this kind of task.