Collection Policy
1. Purpose
This Collection Policy describes how Pakimu Investment Limited T/A WanPaus Microfinance ("Pakimu") manages accounts that are past due, overdue, or in default. Our approach to collections is firm but fair: we will pursue recovery of outstanding amounts while treating borrowers with dignity and in compliance with applicable Papua New Guinea law.
This policy should be read together with our Terms of Use and Responsible Lending Policy, which define the loan lifecycle, grace period, and default declaration thresholds.
2. Key Terms and Thresholds
| Stage | Timing | What happens |
|---|---|---|
| Due date | Day 0 | Repayment falls due. 5-calendar-day grace period begins. |
| Grace period | Days 1–5 after due date | No late fee. No streak impact. Repayment contact may be initiated. |
| Overdue | Day 6 after due date | Late fee (10% of principal) applied. Repayment streak reset to zero. Tier returns to BRONZE. Loan status: OVERDUE. |
| Default declaration | Day 14 after due date | Loan declared DEFAULTED. Credit bureau reporting. Access to new loans suspended. Collections process commences. |
3. Pre-Due-Date Communication
Pakimu may send repayment reminders in the days before a loan falls due. These reminders are informational only and do not constitute a demand notice. Reminders may be sent by email to the address on the borrower's account.
4. Grace Period (Days 1–5)
During the 5-calendar-day grace period following the due date:
- (a) No late fee is charged.
- (b) The borrower's consecutive repayment streak is maintained if the loan is repaid within this window.
- (c) Pakimu may contact the borrower by email to remind them of the outstanding payment.
If you know you will have difficulty repaying on time, contact us at hi@wantekpng.com before the due date. Early communication is the most effective way to explore options before consequences apply.
5. Overdue Stage (Days 6–13)
If the loan is not repaid by the end of the grace period (day 5):
- (a) A late fee equal to 10% of the original principal is applied to the outstanding balance.
- (b) The borrower's consecutive repayment streak resets to zero and their tier returns to BRONZE.
- (c) The loan status changes to OVERDUE.
- (d) Pakimu will attempt to contact the borrower by email to discuss repayment of the full outstanding amount, including the late fee.
An overdue loan can still be recovered to COMPLETED status. Repayment of the full outstanding balance (including the late fee) during the overdue period prevents default declaration.
6. Default Declaration (Day 14)
If the loan remains unpaid for 14 calendar days after the due date, the loan is declared DEFAULTED.
On declaration of default:
- (a) The borrower's credit bureau profile is updated to reflect the default, where a bureau reporting relationship exists.
- (b) The borrower's ability to apply for new loans through the Platform is suspended until the default is resolved and a recovery streak is established.
- (c) Pakimu will issue a formal demand notice by email for the full outstanding amount, including all accrued fees.
- (d) The default is recorded in the Platform's audit trail as a permanent record.
7. Default Recovery
A defaulted loan can be recovered. To recover a defaulted loan:
- (a) The borrower must repay the full outstanding balance, including any applied late fee and any additional amounts agreed with Pakimu.
- (b) Following full repayment of a defaulted loan, the borrower's bureau profile is updated to reflect the recovery (RECOVERED status).
- (c) A recovery repayment streak must be established before the borrower can access new loans. The required streak length is configured by the lending tenant.
8. Collections Conduct Standards
Pakimu and any collections agents acting on our behalf are required to:
- (a) communicate only through legitimate, verified channels (email; no unannounced home visits);
- (b) clearly identify themselves as acting on behalf of Pakimu;
- (c) not use threatening, abusive, or misleading language;
- (d) not contact third parties (family members, employers) without the borrower's prior written consent, except as permitted by court order;
- (e) provide the borrower with an accurate, itemised statement of the amount owed on request;
- (f) honour any repayment arrangement agreed in writing.
Borrowers who believe collection contact has been conducted in breach of these standards may complain to hi@wantekpng.com.
9. Hardship
If you are experiencing genuine financial hardship that prevents you from repaying your loan, contact us at hi@wantekpng.com as early as possible. We will consider each hardship case individually. Options we may consider include extended repayment timeframes or temporary suspension of collection contact pending a repayment arrangement. Hardship arrangements are not guaranteed and do not waive the late fee or default consequences if an agreed arrangement is not maintained.
10. External Collections
Where a loan remains unpaid after reasonable internal collections efforts and the default declaration period, Pakimu reserves the right to refer the account to an external collections agency or to commence legal proceedings in the National Court of Papua New Guinea. Legal costs may be added to the outstanding balance where permitted by law.
Borrowers will be notified before their account is referred to an external collector.
11. Complaints
If you have a complaint about how your account has been managed under this policy, contact us at hi@wantekpng.com. We will acknowledge within 2 business days and aim to resolve within 10 business days. If you remain unsatisfied, you may seek independent dispute resolution through the National Court of Papua New Guinea.
12. Contact
Pakimu Investment Limited T/A WanPaus Microfinance
Email: hi@wantekpng.com
Papua New Guinea