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Bad Debt Initiatives

Bad Debt Initiatives. September 2009. What’s in it for You?. Why is Bad Debt Reduction important to Leadership Representatives? Leadership are spending time and energy with high-risk Representatives. Gives you more time for productive PATD activities

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Bad Debt Initiatives

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  1. Bad Debt Initiatives September 2009

  2. What’s in it for You? Why is Bad Debt Reduction important to Leadership Representatives? • Leadership are spending time and energy with high-risk Representatives. • Gives you more time for productive PATD activities • High-Risk Representatives continue to participate in fraudulent activities

  3. Actions What actions have been taken so far? • Changed the “Hold Order” policy for over limits for all LOA 0-3 Representatives whose score is “U” or “L”. • Hired a 3rd party vendor to assess the accuracy of an Appointee’s Identification. • Refined QuickPay process to reduce incidence of recurring fraud.

  4. Actions What Future Actions will be taken? • Roll out Phase I –Online Contracts using 3rd party vendor, on September 30. • Revise credit limits for all LOA 0-6 starting with C/21N C/23 TS Appointments. • All Appointments LOA 0-3 going on “C” hold for over credit limit starting in C/21N C/23 TS. • Pilot for Phase II – face to face Appointments using 3rd party vendor database, through eAps 1st Qtr. 2010 • National Roll out of Phase II – face to face Appointments, using 3rd party vendor database through eAps, 2nd Qtr. 2010

  5. Phase I – Online Contracts – Start.Avon.com Changes to current OLC process • If Appointee receives a “cannot complete” message after completing online contract she/he will be instructed to a face-to- face Appointment. • Upline will be notified via email 3rd party vendor was unable to validate the Appointee’s identification. • Upline should not follow up with Appointee, should wait for Appointee to contact them. • If Upline is unable to conduct face-to-face Appointment due to distance of Appointee, DSM then will conduct Appointment and link to Upline. This is an exception to current policy. We will monitor these Appointments closely. See FAQ’s for details. • If face-to-face Appointment is conducted, Appointment maker will be required to check for minimum of two forms of current ID. If Appointee cannot produce the required information the Appointment process cannot be completed. Expectation is that fraudulent Appointees will not want face to face Appointment

  6. New Credit Limits for LOA 0-6 August 2009

  7. Changes to Credit Limit – C-21 Credit Limits for Campaigns 1-26

  8. New Representative Landing page LOA 0-1 The new Landing Page shows the New Representative his/her initial credit limit

  9. Revised Training Tools • Revised Contract Scoring Worksheet and instructions available for C21 Appointments • Revised training materials for new Credit guideline policy • Revised startAVON.com PowerPoint and study guide • FAQ’s for Phase I Roll out of Online Contract Card, startAVON.com • All materials posted on yourAVON>Beauty of Knowledge Homepage.

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