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As the market leader in Local Government debt collection, R&R has the experience, professionalism and resources to successfully guide you through recommencing your recovery process.
Councils should be applauded for the compassion and leadership they have demonstrated since at least March 2020. Collectively, Councils made the tough but sensible decision, to not actively pursue ratepayers, who were undoubtedly struggling with the emotional and financial devastation of COVID-19. Many Councils offered hardship processes, suspended formal collection, stopped interest and provided the community with a broad range of repayment options.
Local Governments empathy no doubt contributed to the economic stabilisation and mental wellbeing of their constituents.
However, many Councils will no doubt now find themselves faced with the burden of increasingly higher debt ratios and the unenviable but inevitable task of having to recommence the recovery process.
Recommencing debt recovery is a very sensitive issue for Councils, R&R understands this and is here to help.
Since February 2021 R&R has been instructed by various Councils to recommence the recovery process and start engaging with ratepayers. The response has been particularly encouraging, while many ratepayers are seeking extensions, many are making arrangements and remarkably even paying in full. The good news is that most ratepayers are responding favorably, resulting in increased cashflow for Councils.
JobKeeper is coming to an end and other sectors are commencing formal recovery processes, so it is important for Councils to start to consider when they will engage with their ratepayers. Many ratepayers have commented to us that they did not know how much they owed and had not heard from Council. While one may argue that Councils should continue to do nothing and not pursue the account, the conundrum of this approach is to delay the problem and leave the ratepayer faced with a compounding financial burden.
While the decision to recommence recovery is a difficult decision for Councils, we at R&R can make that transition a smooth and successful one, just as we have for other Councils.