Factoring

Cloch Housing Association is committed to improving our services, including those offered to our factored owners. We are reviewing our arrangements for factoring to ensure that we are meeting our legal requirements as your factor, and that you are meeting your legal requirements as an owner.

One area that we are concerned about is Buildings Insurance. Previously we have offered our policy to all fully factored owners, but have only covered those who have contacted us to take out the policy. Based purely on risk, this process cannot continue as we both could be left exposed to owners who simply do not have the appropriate cover in place. This could leave us with problems with future claims.

All Fully Factored Owners are covered unless you opt-out

As a result, we intend to cover all factored owners who live in tenements with effect from 1 April 2019 unless you provide proof of your own insurance policy so that we can confirm that your policy extends to cover your obligations to the common fabric and areas of the building, as per your Title Deeds. Under the Tenements (Scotland) Act 2004 (Prescribed Risks) Order 2007, it is a legal requirement for you to make sure that you are adequately covered.

Section 18 of the Tenements (Scotland) Act 2004 makes it clear those risks which owners are required to insure their property against. These are as follows:

a. Fire, smoke, lightening, explosion, earthquake;
b. Storm or flood;
c. Theft or attempted theft;
d. Riot civil, commotion, labour or political disturbance;
e. Malicious persons or vandals;
f. Subsidence heave or landslip;
g. Escape of water from water tanks, pipes, apparatus, and domestic appliances;
h. Collision with the building caused by any moving object originating outside the
building;
i. Leakage of oil from fixed heating installations; and
j. Accidental damage to underground services.

Renewal

The Association’s Block Buildings Insurance Policy is due for renewal on 1 April each year.

Queries

If you have any queries or would like to discuss any element of our Block Buildings Insurance Policy further, please contact the Finance team on 01475 783637 or by email office@clochhousing.org.uk.

If you need to make a claim in relation to the block policy we offer you should contact Bruce Stevenson directly on the number or email below:

Bruce Stevenson Insurance Broker Ltd, 76 Coburg Street, Edinburgh EH6
Tel: 0131 553 2293
Email: claimsdept@brucestevenson.co.uk
Emergency/out of hours: 0121 411 0535

Policy details
Excess applicable:
• £100 to all losses other than subsidence which is £1,000.
• An excess to the communal building is £500.

A summary of the policy can be obtained by calling 01475 783637 and is provided annually with your invoice. If you need to see the full policy, it is available at our offices. If you require a full copy of the policy we will make an admin charge for this.

We also have in place Public Liability Insurance which is managed by the same insurance brokers (contact Bruce Stevenson as above).

My Cloch Portal

Visit “My Cloch” customer portal my.clochhousing.org.uk to make a debit or credit card payment. You can also report a repair, make a complaint or give a compliment and view your details.

Credit/Debit card

By telephoning us on 01475 783637, or in person at 19 Bogle Street, Greenock PA15 1ER

Using your Allpay Card or Allpay App

Payments can be made by cash at your local Post Office or PayPoint outlet, by telephone and internet using your Allpay card and a valid Debit or Credit card.

Internet or phone banking

Pay directly to the Association’s account number 10817069 and sort code 80-91-27, quoting your reference number (this can be found on the top right-hand side of your invoice).

Direct Debit / Standing Order

If customers would prefer to spread the cost of their factoring charges, we can arrange for you to set up Direct Debit or Standing Order payments either monthly or weekly, but ensuring that the debt is paid before the next invoice is issued (within 6 months). Please contact the Finance section on 01475 783637 to discuss this in further detail.

Struggling to Pay?

If you are experiencing difficulty making payment, please contact the Association on 01475 783637.

If you are in a block of flats, the Association, as a factor will carry out common repairs that will be recharged back to owners in the close.

If you have a common repair, please contact the office on 01475 783637 or use the contact form on the website. If it is an emergency please phone, do not use the form.

Cloch Housing Association is a ‘not for profit’ organisation and a registered charity. Most of our income comes from the rents of our tenanted properties. We also provide factoring services to owners who have a requirement as per deeds of conditions to co-ordinate common repairs and landscape maintenance to ensure that our properties and estates are maintained for the benefit of all - owners and tenants.

At present, the Association front funds the cost of works undertaken on behalf of owners by up to 9 months, e.g. costs incurred between September and March are invoiced in June, based on the property deeds of conditions. If owners’ accounts are not cleared within a suitable timeframe our tenants subsidise the outstanding debt. Therefore ensuring debts are fully recovered, in a timely manner, is an important aspect of our role as a factor.

Once your invoice is issued, you will have 28 days to settle the account or to make an acceptable payment arrangement.

Making an arrangement to pay

When calculating a suitable arrangement we will use the following criteria-:

All debts should be cleared prior to the next invoice being issued. For example:
• For the invoice received in June, for work undertaken within the previous billing period, this can be paid by 6 monthly direct debit installments to ensure the debt is cleared by the end of November, (before the December invoice is issued).

Failure to Settle Invoice

Should you fail to settle in full or make a repayment arrangement within 28 days, a statement and reminder letter will be issued giving you a further 14 days to make payment.
If, following the statement and reminder, the account is still not paid or no agreed payment arrangement is in place, your debt will be passed to our Solicitor, who will issue a letter confirming the debt will be pursued via legal action. This is the final letter prior to starting the legal process unless payment is made.

It is hoped that we will not be required to commence legal action, however in the event, this has to be pursued, this can lead to a Decree for payment being awarded. This Decree then allows us to use other avenues to collect payment such as earnings arrestment, bank account arrestment, attachment of assets, rent attachment (if you are letting out your property) and – in extreme cases – applying to have a person sequestrated (bankruptcy), depending on the level of debt.

If the debt is over £250 a Notice of Potential Liability will also be registered to protect the debt– this secures the debt against your property meaning that if you choose to sell your property in the future the debt must be settled as a condition of sale or a prospective new owner would have to agree to take on the debt before the sale could proceed.

Please note that all costs incurred in taking further action are due to be paid by the owner and these can amount to over £250.

It is essential, therefore, that you either clear your account in full within 28 days of billing or have an agreed arrangement in place, (e.g. Direct Debit).
For ways to pay, please refer to our “ways to pay” document on the website.

In most circumstances, a factoring service can be terminated either by the owners of the factored properties, or by the factor:

Decision by Owners

The procedure to follow to end your factoring arrangement with Cloch Housing Association Ltd will vary from tenement building to tenement building. In most cases it requires the majority of owners within the building to vote for a new factor and give Cloch Housing Association Ltd the requisite notice contained within the title deeds.

If you require more information on how to end the factoring agreement with Cloch Housing Association Ltd please refer to your title deeds. You may also wish to take legal advice on this matter.

Decision by Cloch Housing Association Ltd

If Cloch Housing Association intends to stop acting as your factor and plans to bring your property management service to an end, then we will write to all other affected owners within the building.