Natural growth of the Greater Bendigo region has seen an increase of overdue rates at the end of the 2018/19 year.
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At July 30, 3023 properties had overdue rates - around 400 more than the previous year - with $3.1 million the total outstanding. Since then council has collected $1.2 million of the outstanding amount leaving a total of $1.9 million still owing.
City of Greater Bendigo manager of financial strategy Nathan Morsillo said a number of the overdue rates already had arrangements made between residents and the council.
"The increase in the number of (overdue) assessments is partly due to natural growth in the municipality," he said.
"It can also be affected if a ratepayer with a large number of assessments pays their final instalment late, or if we are monitoring more arrangements in-house.
"We do expect to collect the $1.9 million in arrears that remains outstanding."
Mr Morsillo said residents in financial hardship was a common reason for rates becoming overdue.
"It would be fair to say that's most common reason but we don't collect specific stats on it and there can be a few (other) elements to it," he said. "(For) a customer who has not paid by the due date, will have a number of attempts at being contacted by our collection agency by email, phone or SMS to (set up) a payment arrangement.
"Where appropriate (council) also refers people to local financial counselling services."
Mr Morsello said residents should always contact council for assistance if they were experiencing difficulty in paying their rates.
"We encourage people make contact as early as they can to set up fornightly or monthly payments," he said. "We have implemented an early intervention method of debt collection which has contributed to our good collection rate."
In the 2018/19 financial year council handed out 58,902 rateable assessments with a 97 per cent collection rate by the July 30 deadline. The amount collected was more than $114 million.
This financial year has already seen 3960 paid in full.