Factoring

Monitoring for fraud

 

Most factors have risk monitoring system, especially those with good factoring software.

The following are risks monitoring adopted by some factors:

1. Survey/Audit

Determine risk before take on

Look out for further risk in periodic audit such as existence of another factor

2. Check on invoice and verification before advance

3. Daily exception report

Such report highlight, dilution, over advance , high credit notes, disputes, debt exceeding financing period

4. Collection

5. Spot Check

6. Monthly report

7. Statement of account

8. Reminder