To think nursery is insane over their new billing policy?

[lemniscate]

Our nursery has just started a new billing process. They now bill us 4 months in advance, so we have to pay them all the fees for May to August by the end of this month. This is insane, right? I mean, we have wiggle room on our monthly budget but we don't have 4 months worth of childcare wiggle room, and I don't particularly appreciate having to dip into savings to cover this. Does anyone else's nursery do this? Is this common practice? AIBU to send them an email back saying WTAF?

Just had a response. They are billing 4 monthly but offering parents the option of paying monthly by standing order instead of having to pay all upfront. I think their problem with payments is cheques coming in at odd times, so I guess they are trying to get parents to pay fully upfront if they want to pay by cheque or else commit to paying by standing order monthly so they know it is coming in at a set time (as I guess people will then choose the latter over stumping up upfront). So at the moment it seems like it is a way of managing crap parents rather than being financial issues per se. Fingers crossed as it is a fabulous place!

I would refuse and look for another one

this is their cash flow issue, not yours

and if they go bust?

just say no, refer to your original contract and say you will leave if they push this

Should add, we pay by monthly standing order already, so there is no change for us. So all resolved, but will keep an eye on any other changes in case of financial difficulty.

this is not normal behaviour to me and I would seriously worry that they were in financial difficulties. If you pay 4 months and then they go under you may then end up being a creditor, which basically means you won't get your money back.

Get out now - find another nursery.

Find a new nursery. I'm sure most of the other parents who's children go will be looking for a new nursery. That will mean less children and if they weren't in financial difficulty, they will be soon!

Madness.

Our nursery has had problems with parents paying in the past and I can imagine the frustration that the people running your nursery are feeling, OP. Don't waste time looking for another nursery yet - just support them and give them the benefit of the doubt. OK, they run on tight margins but they're committed and you like them.

My son goes to a small village preschool too and they've had problems with parents not paying, or not on time. They're a business after all and for smaller places it must be hard. We pay half-termly and I'm fine with that.