Help Understanding Advances and Chargebacks

[jmarkk1]

I'm in the middle of a Vector dispute and I can't seem to wrap my head around the disputed debit balance.
I have copies of all commission reports issued monthly from Dec. of 2006 to July of 2009.
I was "advanced" approx. $4500 in those 2 1/2 yrs. I wrote the overwhelming majority of business in 2007. In 2007 I had 3 policies cancel within the first year. (a total chargeback of $795) I was on a 12 month advance on all business. I continued to write new business in 2007 and the new business paid off the "chargeback balance" and every other policy that I wrote stayed on books for at least 2 yrs., some even longer.
The company that is saying that I owe them approx. $1600 ($600 of this is administrative costs)

I can't, for the life of me, figure out how I owe money when most of my business stayed on the books.

Any thoughts?

 

[GeminiGroup]

Were you charged % on your advances?
Sometimes insurance company debt can be worst than credit card companies.

Also
Did you or your "upline" management "order" leads on your behalf ?

That's how i found out what a Vector was years ago, when trying to get contract with a new company. I called he carrier and because of the IMO's rep and my insistence that I didn't think I owed the money they ate it and we boh moved on.

Get them to send you a full accounting as to what you are being charged, mistakes are made for sure.

 

[jdeasy]

I'm in the middle of a Vector dispute and I can't seem to wrap my head around the disputed debit balance.
I have copies of all commission reports issued monthly from Dec. of 2006 to July of 2009.
I was "advanced" approx. $4500 in those 2 1/2 yrs. I wrote the overwhelming majority of business in 2007. In 2007 I had 3 policies cancel within the first year. (a total chargeback of $795) I was on a 12 month advance on all business. I continued to write new business in 2007 and the new business paid off the "chargeback balance" and every other policy that I wrote stayed on books for at least 2 yrs., some even longer.
The company that is saying that I owe them approx. $1600 ($600 of this is administrative costs)

I can't, for the life of me, figure out how I owe money when most of my business stayed on the books.

Any thoughts?

Damn, sounds like UA. Is that who it is? The company that says you owe will have to show proof of what you owe. They can't just pull a number out of the air. Well, they can and do, but you can beat those imaginary numbers.

 

[jmarkk1]

Damn, sounds like UA. Is that who it is? The company that says you owe will have to show proof of what you owe. They can't just pull a number out of the air. Well, they can and do, but you can beat those imaginary numbers.

Company isn't UA....it's AHCP. They advanced me 15% for 12 months, then charged me 1.25% every month on my advance balance and then gave me a whopping 1% renewal rate on business. There was NOOOO way I could ever had had a 0 balance on my advances even if I had 100% persistency rate.

I have all monthly commission reports. Their own accounting is very weird throughout the 2 1/2 years worth of reports. On each statement there is a column listed as "YTD Form 1099."
At the end of each year, it lists what I would assume to be the total that I earned. If I was in the negatitve every year, I can't imagine this number being in the positive.

Also, again, the thing that seems weird is that my chargebacks were paid back with new business. I sold new business, and instead of getting the full advance, I was only paid the difference from these chargebacks being applied to my check.

In 2009 I went to get contracted with a new GA for my Goldenrule business, and this "debit" balance came up. I disputed it and they released me. Once released I was able to write business with Goldenrule with new GA. I was never notified that they still wanted me to pay back debit balance and they placed vector on me.

I've been trying to get this issue resolved, and I feel that they are pulling up numbers out of thin air. In the world I live in I can't imagine having a debit balance when the overwhelming majority of my business was on books ....not to mention that I somehow owe them almost half of what they "advanced" me in a debit balance.
One of the emails I have actually has one of the ladies in their commissions dept. stating that her own math is off $795 in what I supposedly owe.
Crazy....
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Were you charged % on your advances?
They charged me every month on my "advance balance" 1.25% and they only gave me a 1% renewal rate.
(I don't remember this being part of my contract; I was told that advance balance would be zero if business stayed on books after a year)

Sometimes insurance company debt can be worst than credit card companies.

Also
Did you or your "upline" management "order" leads on your behalf ?

No they did not.

That's how i found out what a Vector was years ago, when trying to get contract with a new company. I called he carrier and because of the IMO's rep and my insistence that I didn't think I owed the money they ate it and we boh moved on.

Get them to send you a full accounting as to what you are being charged, mistakes are made for sure.

I have their numbers, but I can't figure out what they mean.
I only had 3 chargebacks equalling $795 in 2007. These chargebacks were immediately paid off with new business. From this point forward, 2007-2009. I had no chargebacks, and most of the business stayed on the books for 2 years. I have a few policies that are still on the books.

It's frustrating because they are sure that I owe them, and I don't understand their reports. (what they've emailed me recently.....)
I can understand having a debit balance if I wrote business that canceled and never replaced with new business.

 

[jmarkk1]

Can anyone else shine some light on this post?