EXUS Collections & Recovery Blog

Crush Your Competitors With A Super-Efficient Collections Process

Posted by Marios Siappas on Thu, Jan 18, 2018 @ 10:47 AM

Computer and money.jpg

When it comes to technology, early adoption doesn’t always lead to ongoing efficiency.

Britain’s railway system, for example, is the oldest in the world, with wagonways first built in the 1950s. Now, though, the system is out of date, and proving tricky to improve. Just 34% of British train lines are electrified, the trains and carriages used are 21.1 years old on average, passenger complaints are on the rise and just 62.5% of British trains arrive at station stops on time.

The Japan National Railway, on the other hand, was privatised in 1987, with much work done to improve its infrastructure in the years since. As a result, the average length of delay is just 0.9 minutes on the Shinkansen line, and Japanese trains are built with a lifespan of a maximum of 15 years to keep things new.

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Tags: Retail Banking, Collection and Recovery Operations, Telecoms, Utilities

8 steps to better debt collections and recovery for banks in 2018

Posted by Chris Maranis on Wed, Jan 03, 2018 @ 04:09 PM

2018 is a huge year for the banking and finance sector, both for large institutions and individual citizens. In Europe, Brexit is on the horizon. In the US, consumer spending is set to slow as the growth rate of real disposable income also slows. China’s debt bubble looms large while ‘Political instability threatens to derail MENA’s blossoming economic recovery’, according to the world’s leading economists.

For a debt collections industry where the global average of non-performing loans rose over half a percent from 6.99% to 7.07% in 2016, and the cost to service a delinquent loan is now fifteen times the cost of servicing a performing loan according to Gartner, alarm bells should be ringing.

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Tags: Collection and Recovery Software

How to Manage Delinquent Credit Across the Entire Loan Cycle

Posted by Chris Maranis on Wed, Dec 13, 2017 @ 11:05 AM

Debt collection is in trouble - especially when it comes to delinquent credit. According to figures from the International Monetary Fund’s Global Financial Stability Report, non-performing loans make up 3.925% of total gross global loans.

While this figure is down from its high of 4.064% in 2014, certain countries exhibit a far more worrying ratio: countries such as San Marino at 43.4%, Greece at 36.3% and Sierra Leone at 30.7%.

According to the Supervisory Banking Statistics Fourth Quarter 2016, the average rate of non-performing loans of large European banks stood at 6.17% - a figure that is growing, and that dwarfs countries such as Japan and the US which saw rates of just 1.5% during the same time period. The cost of servicing a delinquent loan, say Gartner, now stands at 15 times the cost of servicing a performing loan.

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Tags: Retail Banking, Collection and Recovery Software, Collection and Recovery Operations, Telecoms, Utilities

Agent Incentives for better Customer Communication

Posted by Nikos Lambrou on Tue, Oct 10, 2017 @ 08:00 AM

Incentivizing your collectors is key towards better team management, motivation and performance increase. Daily motivation is critical, even after extensive training is offered to collections professionals. When they have it, they perform better and achieve higher collections rates. Incentive programs must be smartly designed and comprise of a mix of KPI’s in order to actually increase collections results.

This post offers tips on how collections managers can structure incentive programs so that collectors work harder and smarter to improve results. 

 

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Tags: Collection and Recovery Operations

The 3 top collections customer services mistakes and how to avoid them

Posted by Theodore Kavalieros on Tue, Sep 05, 2017 @ 09:00 AM

Half of success is learning what not to do. And there are plenty of mistakes made during the average day of collections work. However, there are three top mistakes that do the most damage to customer service levels. 

Poor Communication

Collectors that don’t communicate well don’t collect. It’s as simple as that. Today’s customers use multiple online and offline channels to communicate and transact. They expect collectors to meet them where they are.

When collectors do contact customers, they must strive to communicate in a polite, professional way and in a manner that’s consistent with the rest of the organization’s messaging. Many organizations fail here because they don’t use centralized communication scripts.

Limited Approach to Offers

The goal of any modern collections department should be to make the right offer to the right customer at the right time. Unfortunately, many organizations fail to exhibit flexibility towards that end. They use a one-size-fits-all approach to settlements, no matter the customer or debt situation. This drives away customers and restricts the number of possible settlements you might be able to achieve.

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Tags: collections and recovery

Put an End To Late Payments: The Secret to Boosting Collections Results

Posted by Marios Siappas on Tue, Jun 13, 2017 @ 11:00 AM

Nearly a quarter of small and medium businesses in the UK could face insolvency because of one thing, reports The Telegraph. They’re not getting paid. Late payments and overdue invoices are piling up for these businesses. A full 22% of these obligations are owed by large companies.

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Tags: Collection and Recovery Operations

8 Ways to Measure the Collections Results that Matter

Posted by Raul Gaitas on Mon, Apr 17, 2017 @ 10:00 AM

Businesses involved with debt collections need to measure and report specific collections goals. That seems obvious, but many companies still don’t follow collections best practices when it comes to forming goals and measuring success. 

When you set clear goals and measure the right metrics, it’s easier to identify and solve challenges, improve processes over time and maximize efficiencies.

There are eight steps you can take to better measur

e your collections performance. Implementing them will help you improve your collections department’s success rates, and as a result, your company’s bottom-line.

1. Determine Your Goals Before You Measure 

Every organization should have an in-depth understanding of their goals and what they’re measuring.

To do that, you must define what success means to your organization. Be aware: it can mean something different for every company. Some might set revenue goals. Others might want to improve operational outcomes by a certain percentage. And some may want to simply hit project completion goals like implementing risk scoring technology or installing a document management system.

Consider some of the following examples of collections goals:

    • Improve kept promise ratios by 10%.
    • Improve self-cure rates by 5%.
    • Grow collections revenue by $10,000 per quarter.
    • Collect 4% more per account or portfolio.
    • Collect 4% more per collector employed.
    • Improve collector productivity by 5%.
    • Reduce time it takes from initial delinquency to settlement.
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Tags: Collection and Recovery Operations

The 4 Steps to Customer Segmentation

Posted by Nikos Lambrou on Thu, Mar 23, 2017 @ 01:00 PM

Customer segmentation refers to the strategy of dividing customers into groups based on characteristics to better tailor messaging and communicate to each audience. These characteristics might include type of debt, amount of debt or location.

It’s important for collections departments to segment customers because they have complex differences. Each customer is in a different collections stage and a unique financial situation. Segmenting resolves obligations in a way that resonates with customers while improving collections rates. 

Continue reading to learn the four steps to implementing customer segmentation at your organization. 

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Tags: Self-Service

The Top 3 Obstacles to Effective Personnel Management

Posted by Chris Maranis on Tue, Mar 14, 2017 @ 08:30 AM

Personnel are your collections department’s biggest expense and biggest opportunity to improve performance. The difference between losing money on staff and having staff produce more than you thought possible is effective management.

When you effectively manage collectors, you increase productivity, accuracy and performance. Well-managed collectors positively impact the bottom line and customer satisfaction rates. But there are three major management challenges anyone who runs a collections team faces. 

Keep reading to discover what they are and how to avoid them.

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Tags: Collection and Recovery Operations

How to Create an Effective Collections Personnel Capacity Plan

Posted by Marios Siappas on Thu, Feb 23, 2017 @ 09:00 AM

Capacity planning is commonly used in business computing and information technology. Simply put, it’s a process that helps determine what resources a business will need to satisfy the changing demands for its products. In a collections department, personnel capacity planning helps your organization understand how many employees you need to manage a certain number of accounts, including accounts today and those projected for the future.

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Tags: Collection and Recovery Operations