How to Track Plot Instalments and Overdue Payments

Selling a plot on instalments is a long relationship. A buyer may pay over twelve, twenty-four or more months, and in that time memories fade, staff change and receipts get lost. A reliable collection process protects the company from cash shortfalls and protects the buyer from being told they owe something they have already paid. Here is how to set one up.

Step 1: write the payment plan into the booking

Before any money moves, the booking form should state the total price, the token amount, the down payment, the number of instalments, each due date and each amount. Use Bikram Sambat dates because that is what the buyer will read and remember. The plan should say clearly what happens if a payment is late, whether there is a grace period and whether any late charge applies. Whatever you decide, decide it in writing with a lawyer's input, and ensure the buyer receives a copy.

Step 2: record every payment immediately

When cash, a cheque or a bank transfer arrives, a numbered receipt is issued on the spot and the payment is recorded against the right instalment. Capture the payment mode, the cheque number, the bank, the date and the person who received it. If the same data is entered later from memory, errors creep in. Cheques deserve special attention: mark them as pending until cleared, and note any bounce with its date.

Step 3: give the buyer a statement

Provide a statement on request and at regular intervals, showing the agreed price, every payment with its receipt number and the balance left. Buyers who can see the numbers trust you more, and disputes shrink. A printed statement stamped by the office is also useful when a buyer needs to show a bank or family member their payment history.

Step 4: build the daily overdue list

Each morning, accounts staff should open a list of instalments due today, due this week and overdue, grouped by how late they are. A simple aging view helps decide the tone of the follow-up.

Days late	Suggested action
Due today	Friendly reminder by SMS or WhatsApp
1 to 7	Phone call by the sales agent who sold the plot
8 to 30	Call from the accounts manager and a written notice
Over 30	Meeting with the buyer to agree a revised schedule, recorded in writing

These bands are only a starting point. Adjust them to your agreement and the type of buyer. A buyer working abroad who sends money through a family member may need more flexibility than a local buyer.

Step 5: record promises to pay

Many collections are really conversations. A buyer says money will arrive after a harvest, after a salary or after the family returns from a festival. Record the promised date as a note, and set a follow-up for that day. When the date passes with no payment, you have a documented history that is useful for deciding what to do next. Without it, every call starts from scratch.

Step 6: reconcile with the bank every week

Match the bank statement with your receipt book once a week. Look for deposits that no receipt explains and receipts with no deposit. Both indicate errors or worse. Good practice also means that the person who receives cash is not the only person who records it. Your accounting system should show the same totals as the plot ledger at month end.

Step 7: review collection performance monthly

Report four numbers every month: instalments due, instalments collected, overdue amount and the number of buyers more than thirty days late. Compare against the previous month and look at which agents or blocks have the worst arrears. Patterns often show a cause, such as a block with an unresolved road issue or an agent who promised flexible terms verbally.

Handling buyers who pay in irregular lumps

Real buyers rarely pay exactly on the due date. A migrant worker may send money twice a year. A farmer may pay after a harvest. A business owner may clear three instalments at once. Decide in advance how an irregular payment is applied: to the oldest unpaid instalment first, or to the next ones. Record the rule in the agreement and let the schedule recalculate the balance accordingly. Staff should not have to do this arithmetic in their heads while a buyer waits at the counter.

Also decide what happens to an overpayment. It may be treated as an advance against future instalments and shown as such on the statement. Either way, write it on the receipt so that the buyer sees the same figure that your ledger shows.

Respect the buyer's time

A collection process works best when the buyer feels respected. Call at sensible hours, avoid public embarrassment and keep records of every contact. Buyers who feel hounded stop answering; buyers who feel informed usually pay. A short, polite message a few days before the due date reduces late payments more than any number of angry calls afterwards.

How software helps

• Payment plans create the schedule automatically.
• Receipts are numbered without gaps and can be reprinted.
• The overdue list is always current.
• Statements print in seconds.
• Reminders can be sent as ready-made messages.

WebsNP configures all of this in land plotting and housing software, and for reminders at scale see bulk SMS and WhatsApp software. Message us on +977 9846280400 and bring a sample payment plan to the demo.

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