EXUS Collections & Recovery Blog

Chris Maranis

Recent Posts

Open banking regulations: What do big banks need to do to disrupt the disruptors?

Posted by Chris Maranis on Thu, Mar 22, 2018 @ 11:33 AM

Disruption is a buzzword in business right now.

Old models are crumbling while new models, powered by emergent technology, are replacing them. Uber, Airbnb, Deliveroo – each provides a recognisable service in a new way. Financial Services are not immune.

The UK’s Open Banking legislation came into force on January 13, 2018. This was the second phase of a ‘managed roll out’ which aims to facilitate innovation, competition and efficiency in banking. Open Banking puts everything up for grabs - including savings and transactional accounts, mortgages, personal loans, debt collection, debit cards, and credit cards.

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5 key insights from the Gartner/EXUS webinar on loan collections

Posted by Chris Maranis on Wed, Jan 31, 2018 @ 02:45 PM

We found Gartner’s Technology Adoption and Investment report - the first ever global technology analysis of loan collections systems by an industry analyst firm - exciting for several reasons.

Having EXUS's financial Suite recognised as the “Best-In-Class” debt collections software in the world was a tremendous honour, of course. Plaudits aside, however, the report confirmed many of the trends we’ve been emphasising for a while.

Overall, it illustrated just how much the mindset around loan collections is changing within major banks.
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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

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

4 Needs for Next-Generation Debt Collection Solutions

Posted by Chris Maranis on Tue, Jan 31, 2017 @ 02:05 PM

The right offer delivered to the right customer at exactly the right time. It is more important than you could ever imagine. Customers use multiple channels to communicate and resolve debt obligations. They also may have multiple debt obligations with a bank or company.

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Tags: Collection and Recovery Software, Collection and Recovery Operations

When it comes to debt collections, mobile technology can bridge the gap between banks and their millennial customers

Posted by Chris Maranis on Mon, Sep 12, 2016 @ 01:18 PM

Several years on from the world financial crisis, banks still have to deal with its consequences. Besides the financial impact and the damage to their reputations, banks have had to learn to operate in a new world – a world of flat economies and rising levels of customer debt. Non-performing loans have increased and customer indebtedness, in general, has been seen to have a significant effect on the banks’ net profitability. Increasing collection costs, growing bad debt write-offs, and the requirements for higher provisions against loan losses have all combined to make managing credit loss a key business driver, with a direct impact on the banks’ profits.

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Tags: collections and recovery, Self-Service, Collection and Recovery Software, collections, non-performing loan

The Top 5 Ways Debt Collections Departments Lose Money

Posted by Chris Maranis on Thu, May 05, 2016 @ 11:00 AM

In a perfect world, debtors would pay what they owe and collectors would have better results. But in many debt scenarios and environments, the only element you can control is how your collections department works.

Even a gain of just a few percentage points in collections performance delivers serious results. In some situations, organizations starting from a low base may even see double or triple digit gains.

That statistic cuts both ways: a drop of even a few percentage points can significantly damage your bottom line.   

Here are the top five ways that debt collections departments lose money and how to avoid them.

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Tags: Collection and Recovery Operations

How Banks Need to Respond to the Rise in Non-Performing Loans

Posted by Chris Maranis on Mon, May 02, 2016 @ 02:07 PM

We all know the global financial crisis changed retail banking as usual. Investor confidence and credit availability plummeted. Consumer debt levels rose. Economies flattened worldwide.

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Tags: collections and recovery, non-performing loan

Why Middle East Banks Need to Rethink Debt Collections and Debt Collection Software

Posted by Chris Maranis on Wed, Mar 02, 2016 @ 10:00 AM

dubai-727509_960_720.jpgThe Middle East faces a retail banking environment characterized by significant volumes of non-performing loans (NPLs) and robust technological change. Banks operating in this environment face increasing debt collection costs, growing bad debt writeoffs and the need for higher provisions against loan losses.

The good news is that opportunities abound both at home and abroad. Banks are growing and breaking into new markets. But higher profits are available only to banks that manage the consequences of growth. Managing credit loss is a key business driver for banks in the region, one that has a direct impact on profits and the bottom line. 

Smart banks are implementing strategies to minimize NPLs andmaximize debt collection efforts. The top players are adopting specialized debt collection software to capture more value from the business already on their books.

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Tags: Islamic Banking