The increasing number of buy-now-pay-later payment plans has resulted in growing accounts with distressed debt. Collections organizations are facing increasing strain from this growth, and require solutions that optimize the collections process while guiding customers through their individual circumstances.
Factors including the pandemic, rise of short-term payment plans and increasing cost of living has catalyzed the global rise of household debt. More customers have entered collections than ever before, highlighting the inadequacy of traditional collections processes to meet the challenges today’s consumers present.
Buy Now, Pay Later (BNPL) is a rapidly growing payment format that has become seamlessly integrated into a range of services, products and facilities. Its ease of access has made it a popular choice of payment, which has meant an increasing volume of customers entering the collections process as a result.
Performance indicators are vital in providing perspective on the current state of business operations and offer valuable insight for future strategies.
Modernization of the collections and recovery industry is moving at lightning-fast pace. Legislative changes have made companies rethink their processes, customer centricity has become a primary focus, and AI is is more widely adopted.
Collections and recovery teams can now be at the forefront of improving brand reputation in an organization.
Collections teams must contend with a varied and ever-growing set of compliance and risk factors. From the volume of customers to the amount of interest they can charge, to the security of the data they hold, organizations are tightly governed and the consequences of a breach can be severe.
Organizations across the world are recognizing the need to bolster their collections and recovery operations - with the post-pandemic environment presenting an increased level of risk and a need to scale to accommodate more customers.
With a debt tsunami again looming large, organizations must use their pandemic learnings to make collections processes customer centric.
With a debt tsunami again looming large, organizations must use their pandemic learnings to make collections processes customer centric.
Find out how financial services institutions can start using the collections process as a method of boosting customer loyalty.
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