The purpose of the “GLN Amber Alert” system is to ensure that all debts between GLN Members are settled promptly and also to provide GLN with an early indication of potential problems which could impact the GLN Accounts Receivable Insurance Fund. (AR Fund) owned by GLN Members.
As a general principal, all transactions between members should be settled – either by payment or contra-settlement – within the credit terms agreed upon between Members. GLN does NOT establish credit terms but has established that debts unpaid after 45 days from the month-end in which an invoice is dated is the MAXIMUM credit that is acceptable: Example is that all invoices dated during March should be settled by no later than May 15.
On the 15th of every month, GLN will send out a reminder requesting that all debts that are 45+ days old are reported to GLN via our automated Amber Alert system. All past due notifications received via the Amber Alert system are strictly confidential between the 2 members concerned and GLN.
GLN will actively intervene and do whatever necessary to ensure prompt settlement; this will include placing the delinquent member on “Amber Alert” and broadcasting this to other GLN Members should the delinquent party not be responsive. The Amber Alert is also the first step in placing a formal claim against the AR Fund which will also result in the GLN Member being terminated and the debt being reported to a collection agency for their further action.
Interface with the AR Fund:
If a GLN Member does NOT advise GLN of delinquent debts consistent with the Amber Alert rules/timelines specified above, claims will be considered ineligible for recovery under the GLN AR Fund. No GLN member should ever allow “personal relationships” with other GLN Members to compromise the need for total compliance with the rules and timelines.
The date of the earliest outstanding debt will be considered as the basis of any claim against the AR Fund. If this debt is outside the Amber Alert timeline, the total debt will be ineligible for recoveragy against the AR Fund.
Updated: January 2017