Financial Management: Legislation to Improve Governmentwide Debt
Collection Practices (Testimony, 09/08/95, GAO/T-AIMD-95-235).

GAO discussed proposed legislation to improve governmentwide debt
collection practices. GAO noted that: (1) the federal government
reported $241 billion in nontax receivables, most of which were the
result of direct loans and loans acquired as a result of claims paid on
defaulted guaranteed loans as of September 30, 1994; (2) it is essential
that the federal government make and guarantee creditworthy loans, as
well as put effective practices in place to collect the amounts that are
owed; (3) the potential for increasing collections through sound debt
collection programs can help reduce the deficit; (4) the collection of
nontax receivables increased by $8.8 billion between fiscal years 1993
and 1994; (5) in fiscal year 1994, delinquent nontax debt increased by
over $5 billion with almost $10 billion in delinquencies reported as
write offs; and (6) federal agencies must have a range of tools and
authorities to help them minimize the amount of delinquencies and write
offs that continue to occur each year and reduce the costs of lending
programs.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-AIMD-95-235
     TITLE:  Financial Management: Legislation to Improve Governmentwide 
             Debt Collection Practices
      DATE:  09/08/95
   SUBJECT:  Financial management
             Debt collection
             Proposed legislation
             Accounts receivable
             Government guaranteed loans
             Direct loans
             Delinquent loans
             Loan defaults
             Loan repayments
             Government collections
IDENTIFIER:  National Performance Review
             Joint Financial Management Improvement Program
             Credit Alert Interactive Voice Response System
             CAIVRS
             Debt Collection Improvement Act of 1995
             
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