Bad debts, as determined by the director of student accounts, are handled as follows:
Clarke may impose interest charges of 1.5% monthly on any unpaid balances. In the event of a default in payment, the principal balance, plus any accrued interest, shall at the option of Clarke University become due and payable immediately. Upon the discretion of Clarke University, said account, if in default, will be referred to a collection agency and said account will become liable for all collection costs incurred.
- Student debt under $50 is written off by the director of student accounts and turned over for collection. Over $50 must be approved by the comptroller. Perkins Loans are written off in accordance with federal regulations. Other University receivables are written off as determined by the Comptroller with the approval of the Vice President for Business and Finance.
- An annual report is made to the vice president for business and finance showing the details of all write-offs made during the fiscal year, regardless of amount. A cumulative listing of written-off accounts is maintained by the student accounts office.