Focus on the errors calculated during a rejection ?

When configuring your penalties for rejected Direct Debits, it is important to understand well the impacts of the choices made in the page 'Configuration of the penalties'. Indeed, in this page, you are suggested ticking 3 boxes which determine the number of calculated errors.

To understand the general logic of calculation ....

When two rejections occur successively, they are considered as consecutive errors by default, consequently the penalties for rejected Direct Debits apply. The rules defined in the settings screen enable to indicate whether a rejection of rejected fees or of resubmission also accounts for a consecutive error in the calculation or it is excluded. Other possibility : the member has settled a rejected Direct Debit, in that case, do we consider that a rejection occurring on the next Direct Debit would be the first error or the second error ?

Why is it important to determine carefully the rules of calculating the number of rejections ?

When a member's Direct Debit is rejected for the first time, it may be dealt with more flexibility than the second or the third time. So, the choice of an applied penalty during a rejection depends on the reason for rejection as explained in this article, but the number of consecutive rejections is also taken into account. Knowing that, several things have to be determined : is a settled rejection considered as a first error in the future member's life ? Furthermore, what about the rejections on the rejected fees or the rejections concerning resubmissions? This article aims at explaining how to determine the mode of calculating errors according to your club policy.

STEP 1 - THE CASE OF A SETTLED REJECTION

At this point, the way of calculating depends on the first box to tick in the page 'Configuration of the penalties', which is 'Rejections whose sales are regularized, are considered to be valid levies in the calculation'.

STEP 2 - THE CASE OF REJECTIONS OF 'REJECTION FEES'

At this point, the way of calculating depends on the second box to tick in the page 'Configuration of the penalties', which is 'Ignore Direct Debits issued from 'Sale rejection fees'. 

STEP 3 - THE CASE OF REJECTION RELEASES

At this point, the way of calculating depends on the third box to tick in the page 'Configuration of the penalties', which is 'Do not take into account the rejection releases. Apply the following scenario for rejection release'.

Warning

These rules only apply if the rejected direct debit contains ONLY replay rejections and any other case, such as a rejection containing: "Rejection fee + Replay" or "Normal direct debit + Replay", does not fall into this case.

That box enables you to exclude the rejection releases (release = resubmission of rejected Direct Debits) from the global calculation, but also to determine a specific penalty for the rejection releases.

SOME MORE EXAMPLES

What about a situation where collection is by bank card?

If you have indicated in your scenario that you are collecting a direct debit by bank card, then there will be no scenario consequences other than the creation of handling fees if this had been indicated in the scenario.

• If you had indicated in the scenario that you were blocking the bookings and the bank card recovery was successful, then the bookings would not be blocked.
• If recovery via the bank card is unsuccessful, all the consequences of the scenario will be played out, including the blocking of bookings.

• If a second rejection occurs following the successful recovery, then we refer to the next box to determine whether we are using the first scenario or the second.