Aging Criteria Clause Samples

Aging Criteria. 2.3.4.1 Checks that are outstanding or are voided less than 90 days after issuance shall be excluded from the estimation population. 2.3.4.2 As part of the Holder’s self-review, it is expected that Holders will perform the following analysis of its Accounts Receivable a) an analysis of aged credit balances remaining on the company’s books and records and b) an analysis to determine whether accounts receivable credits have been written off. For the former, Holders may review recent year end Accounts Receivable aging reports for Accounts Receivable credits aged 90 days or greater. For the latter, the Holder should conduct a credit tracing analysis of Accounts Receivable credit balances to test for any Accounts Receivable credits that may have been adjusted off of a customer’s account. All credits adjusted off a customer’s account and all of the accounts used to adjust credits off a customer’s account should be included in the Holder’s review. Nothing in this Regulation shall preclude a Holder from the use of statistical sampling should the population of credits identified be large enough to warrant sampling.