Most A/R disputes won by customers.

• Author: Marshall, Jeffrey
• Position: Collections - Disputed charges - Brief article

The customer is always right, by some corporate mantras--and that appears to extend to the disposition of disputed charges.

Aceva Technologies has released survey findings showing that 90 percent of accounts receivable (A/R) disputes are settled in the customer's favor, indicating a high degree of preventable disputes. A survey of more than 100 financial, collections and receivables executives at mid- to large-sized companies in varying industries discovered that many organizations still take a reactive approach to collections and receivables management. Specific findings include:

* Disputes take on average four weeks to resolve once they've been identified.

* 89.5 percent of companies focus on large accounts or large past-due balances.

* 85 percent of the companies spend less than 50 percent of available time contacting customers.

In addition, the survey found that 60 percent of...