Write-off of Past Due Invoices

The billing unit is responsible for the collection of invoice payments; however, write-offs of uncollectible FSAR invoices require University A/R approval. The write-off of FSAR invoices must be properly approved, explained, and supported by appropriate documentation. Write-offs will not be approved until all collection efforts have been exhausted.

An invoice will be considered for write-off by the FSAR team if collection efforts have been unsuccessful, the invoice is three years past due with no further activity, or if other factors indicate the debt is uncollectible. 

When a billing unit determines an outstanding invoice is uncollectible, write-offs are permitted when:

• Accounts are outstanding beyond the statute of limitations, which is generally three years
• Debtor is in bankruptcy
• Debtor is deceased
• Accounts for which term of purchase/contract or delivery of goods/services are in dispute
• Other legal issues that have caused an account to be compromised or impaired

Following the approval of the write-off, collections activity will cease and the University A/R Team will initiate the write-off of the invoice in the system.