EXUS Collections & Recovery Blog

Dimitris Vassiliadis

Recent Posts

The rise of Islamic banking (and what it means for the debt collections' processes)

Posted by Dimitris Vassiliadis on Thu, Mar 07, 2019 @ 09:55 AM

Despite its relative nascency, Islamic finance is growing at a staggering rate. Between 2000 and 2016, the capital of Islamic banks rose from $200bn to $3trn, and according to Ernst & Young’s 2016 Islamic Banking Competitiveness Report, there are now over 65 Islamic banks worldwide.

In 2014, the UK became the first non-Muslim country to issue ‘Sukuk’, or ‘Sharia-compliant bonds’. Five years on, over 20 UK banks offer Islamic products and there are five licensed Islamic banks. Similarly, Germany and Luxembourg have issued several sukuks over the past few years, and in 2015, Germany opened its first entirely Islamic bank, KT Bank AG.

So, what is fuelling this growth and what does it mean for debt collections processes?

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What can Southeast Asian economies learn from Japan’s handling of debt since 2000?

Posted by Dimitris Vassiliadis on Fri, Mar 01, 2019 @ 09:00 AM

While it is amongst the world’s most advanced economies, Japan has the highest rated public debt to GDP at a staggering 253% (as of 2018), completely dwarfing Greece’s 177%. This debt mountain is the inevitable result of the monumental fiscal deficits that Japan has run since the 90s and it’s a debt that will probably never be “repaid.” At least not in the normal sense of the word.

Perhaps even more shockingly, Japan’s national debt currently sits at over one quadrillion yen (that’s 15 zeros). According to the International Monetary Fund, in order for Japan to pay down this substantial debt to 80% of GDP by 2030, it would need to reach a 5.6% of GDP surplus by next year (2020) and sustain that surplus for a decade.

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Using the Financial Suite test functionality to boost your debt collections performance

Posted by Dimitris Vassiliadis on Thu, Feb 21, 2019 @ 04:21 PM

The EXUS Financial Suite (EFS) might primarily exist to help retail banks take control of their debt collections operations, but it also offers a significant amount of flexibility when it comes to planning and testing new collections strategies.

Our software uses sophisticated simulation tools, which allow our customers to test different approaches to ensure the most effective collections possible. The “Champion Challenger” wizard, meanwhile, lets teams conduct real-world strategy tests on a percentage of their accounts.

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Fear of bankruptcy, and what it means for banks in Southeast Asia

Posted by Dimitris Vassiliadis on Fri, Feb 15, 2019 @ 03:41 PM

In many Southeast Asian countries bankruptcy is still seen as one of the great taboos and the idea of owning up to one’s debts is frowned upon.

From a cultural perspective, admitting any flaws, weaknesses or imperfections goes against the region’s social norms, and bankruptcy just might be perceived as the ultimate failure by many. This is why there is such a grey cloud around it in Asian culture, particularly in Asian banks.

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How the flywheel effect can benefit debt collections

Posted by Dimitris Vassiliadis on Thu, Jan 24, 2019 @ 02:45 PM

The sales funnel is a model that has worked across numerous industries for decades, but is its time in the sun waning?

Its success depends largely on trust, but trust in the government, the media and brands has been whittled away in recent years. People no longer hold much (if any) stock in what marketers have to say. In this era of mistrust, word of mouth is more important than ever before - particularly in debt collections, where mistrust is rife, due to a history of aggressive practices and continued reliance on antiquated collections techniques.

The funnel no longer works, so perhaps it's time we look towards the flywheel effect?

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Five ways tier 2 retail banks are responding to the fintech threat

Posted by Dimitris Vassiliadis on Wed, Dec 19, 2018 @ 11:36 AM

No industry is safe from the fast march of digital progress, and the banking sector is no different. In Europe alone, well over a thousand fintech companies have launched in the last decade and, as of 2016 according to Accenture, these same fintechs make up almost 7% of the industry's overall annual revenue.

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5 retail banking trends for 2019

Posted by Dimitris Vassiliadis on Wed, Nov 28, 2018 @ 03:35 PM

There are forces at work aiming to reshape the banking sector, and retail banks need to choose whether they want to brace for impact or lead the charge. With 2018 winding to a close and retail banking in a state of perpetual change, everyone's eyes are currently on 2019.

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