Collections and Recovery
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Collections and Recovery

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Recover maximum revenue and reduce loss

Traditionally, most auto loan delinquencies have occurred within the first 90 days of ownership. While these delinquency rates have stabilized lately, many agree that they are still too high.

"Auto delinquency rates have stabilized but continue to remain high. It is imperative for auto lenders to use sophisticated...

Even if these rates should drop significantly, lenders should remain diligent in their efforts for early identification of delinquent behaviors, prioritization of collection targets, and more efficient work flow to better control write-offs and repossessions during the entire collections and recovery process.

Deploy the right tools for maximum recovery

As consumer credit repayment behaviors change, your collections strategies should also evolve. The ability to modify segmentation strategies quickly, integrate new analytics, and take quick action to integrate these changes into your operations can mean the difference between high write-off values and decent recovery numbers. By integrating the right strategies that are optimized for your portfolio, you can better serve your customer base and your business by focusing resources on the right collections activities.

Once collections have become charge-offs, it’s essential to your bottom line to have the most effective systems and processes for maximum recovery. Linking collections to recovery and to outside entities for debt sales can streamline the process, provide solid returns, and maximize revenue. In addition, locating the best agency to manage a particular debt based on multiple characteristics can enhance the effort even further, adding to the ROI by as much as 20%.

With FICO’s collections and recovery solution, you can:

  • Prioritize collections actions to reduce losses and charge offs, and maximize on recoveries.
  • Establish loan workout parameters in real time, while the customer is on the phone.
  • Devise, test and select best performing collection strategies in a rapid fashion that improves recoveries.
  • Gain access to and maximize third-party agency and attorney collection.
  • Manage the sale of debt in the most profitable way.