SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Demonstrate knowledge and understanding of accounting practice and procedures associated with the collection of debts 
SAQA US ID UNIT STANDARD TITLE
12745  Demonstrate knowledge and understanding of accounting practice and procedures associated with the collection of debts 
ORIGINATOR
SGB Banking and Micro Finance 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
BANKSETA - Banking Sector Education and Training Authority 
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 4  NQF Level 04 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
This unit standard is intended for all learners working in factoring.

Persons credited with this unit standard will be able to demonstrate knowledge and understanding of the impact of collections on factoring profit and loss, reconcile a debtors account, handle dispute and account for debt collections. 

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
Open. 

Specific Outcomes and Assessment Criteria: 

SPECIFIC OUTCOME 1 
Demonstrate knowledge and understanding of the impact of collections on factoring profit and loss 

ASSESSMENT CRITERIA
 

ASSESSMENT CRITERION 1 
1.The risks associated with collection of debts are explained according to generally accepted factoring policy and procedure. 

ASSESSMENT CRITERION 2 
2.The impact of the timing of collection on the factoring house is explained with the use of examples. 

ASSESSMENT CRITERION 3 
3.The costs associated with timely collection are compared to the collection costs associated with long outstanding debts with the use of examples. 

ASSESSMENT CRITERION 4 
4.The impact of collections on the profit and loss to the factoring house is explained with the use of examples. 

SPECIFIC OUTCOME 2 
Reconcile a debtors account. 

ASSESSMENT CRITERIA
 

ASSESSMENT CRITERION 1 
1.An accurate balance is established according to general book keeping practice. 

ASSESSMENT CRITERION 2 
2.The entries processed to the debtors account since the last reconciliation, are tracked according to general book keeping practice. 

ASSESSMENT CRITERION 3 
3.The correct and accurate processing of the entries is established according to general book keeping practice. 

ASSESSMENT CRITERION 4 
4.The correct and accurate allocation of the entries to debtor accounts is established according to general book keeping practice. 

ASSESSMENT CRITERION 5 
5.The entries passed are verified according to trading documentation. 

ASSESSMENT CRITERION 6 
6.The debtor account is balanced to an independently verified figure according to general book keeping practice. 

SPECIFIC OUTCOME 3 
Handle disputes. 

ASSESSMENT CRITERIA
 

ASSESSMENT CRITERION 1 
1.Disputes between suppliers' and debtors are identified according to general legal policy and practice and in line with the factoring agreement. 

ASSESSMENT CRITERION 2 
2.The parties to the dispute are notified of the nature and details of the dispute as required by the factoring agreement. 

ASSESSMENT CRITERION 3 
3.The dispute is lodged according to the agreed terms of the factoring agreement. 

ASSESSMENT CRITERION 4 
4.A final notice is presented to the debtor according to the dispute policy and procedure and according to the agreed terms of the factoring agreement. 

SPECIFIC OUTCOME 4 
Account for debt collections. 

ASSESSMENT CRITERIA
 

ASSESSMENT CRITERION 1 
1.The payments received are correctly accounted for according to the debtor and invoice details. 

ASSESSMENT CRITERION 2 
2.Payments not received are correctly recorded according to overdue account reports. 

ASSESSMENT CRITERION 3 
3.Disputes between the supplier and debtors are recorded according to debt collection practice and factoring policy and procedure. 

ASSESSMENT CRITERION 4 
4.Final notices on the outstanding debts are correctly recorded according to general book keeping practice. 

ASSESSMENT CRITERION 5 
5.Inaccuracies identified in the factoring books are correctly adjusted and the supplier is notified according to general book keeping practice. 


UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
1.Anyone assessing a learner against this unit standard must be registered as an assessor with the relevant ETQA.
2.Any institution offering learning that will enable achievement of this unit standard or assessing this unit standard must be accredited as a provider with the relevant ETQA.
3.Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines in the relevant qualification and the agreed ETQA procedures.

Therefore, anyone wishing to be assessed against this unit standard may apply to be assessed by any assessment agency, assessor or provider institution that is accredited by the relevant ETQA. 

UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
  • General knowledge of the factoring industry.
  • Operating and computer systems knowledge sufficient to locate the necessary information and complete the task/function.
  • General understanding of the specific risks and relevant policies relating to processing factoring transaction. 


  • Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    To identify and solve problems when reconciling a debtors account. 

    UNIT STANDARD CCFO ORGANISING 
    To manage oneself and ones activities responsibly and effectively when handling a dispute between a debtor and supplier. 

    UNIT STANDARD CCFO COLLECTING 
    To collect, organise and critically evaluate information when reconciling a dobtors account. 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    Legal Requirements

    All procedures must meet recognised codes of practice as well as obligations required by current legislation within South Africa and within the normal parameters of the defined job/task.

    Terminology
  • Supplier - A term used in factoring to refer to the party who supplies the invoices for discounting. The term is used to distinguish this party from the terms used for debtors and creditors.
  • Dispute - This refers to any disagreement about an invoice between the debtor and the supplier, it could relate to non-acceptance of goods, or quality problems or a mismatch between goods delivered and those invoiced. On the basis of the dispute the debtor refuses to pay. 

  • QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  93997   National Certificate: Contact Centre and Business Process Outsourcing Support  Level 3  NQF Level 03  Reregistered  2021-06-30  As per Learning Programmes recorded against this Qual 
    Elective  20185   Further Education and Training Certificate: Banking  Level 4  NQF Level 04  Reregistered  2023-06-30  BANKSETA 
    Elective  49021   Further Education and Training Certificate: Debt Recovery  Level 4  NQF Level 04  Reregistered  2023-06-30  FASSET 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Absa Learning & Development 
    2. ACADEMY BUSINESS SCHOOL 
    3. BC TRAINING ACADEMY 
    4. Bidvest Bank 
    5. Boston City Campus & Business Coll 
    6. BRIGHT IDEA PROJECTS 447 PTY LTD T/A MIND -THE- GAP 
    7. CBM TRAINING PTY LTD 
    8. Chartall Business College 
    9. Compuscan Academy 
    10. Cornerstone Performance Solutions (Pty) Ltd 
    11. CUSTOMER CENTRIC SOLUTIONS PTY LTD 
    12. DC Dali Debt Counsellors 
    13. Felix Risk Training Consultants 
    14. Nedbank Ltd 
    15. OnTrack Learning Solutions CC 
    16. OSCAR MADLALA CONSULTING AND PROJECTS CC 
    17. Standard Bank Personal and Business Banking 
    18. The Facilitation Workshop 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.