Research Paper on:
Late Bill Payment Research Paper

Unformatted Sample Text from the Research Paper:
bill payments 5 Figure 3 Pattern of late residential bill payments 6 1. Background to the Problem The timing of payments on loans  or amounts due are key to the cash flow of a company to whom the money is loaned. It is known that as loans become later it the payment may  become increasingly difficult to collect and the potential for a default increases (Greenberg, 1997). For companies wishing to avoid taking on collections of more risky debts and for those who  already have them, the ability to understand patterns of payments and the ability to predict the way in which these patterns will move will enable better decisions making to take  place and increased the effectiveness of any risk assessments that take place (Howells and Bain, 2004). 2. Aims of Research The aim of the research is to look at the different  patterns seen with overdue bill payments. The paper will seek to answer the following questions in order to increase the understanding with which late bill payment collections can be managed  more efficiently and bill collections company can use to determine which risks they can afford to take on (Blazenko and Vandezande, 2003). The specific questions will include; * Is there  any correlation between the amount and lateness of a bill? * Is there any difference between the residential ands the commercial bill payment patterns? * If there  is a correlation for either the residential or the commercial costumers, to what extent does the correlation hold. The hypothesis is that First Hypothesis H1 There will be  different patterns in payments seen with commercial bills being more likely to be paid later than the residential bills. H0 There is no difference between the bill paying patterns of