Efficient Communications Improve Repo Rate
July 18, 2011
July 19, 2011
Nationwide, credit unions are searching for better ways to recover their repossession inventories quickly. Higher repossession recovery rates can mean that the vehicle can be sold and the return posted to the deficiency balance more quickly returning more bottom line money faster. With the current industry recovery rates hovering around 50 percent, how can the credit union make decisions that will recover the asset faster?
Communication is the answer to the question. Now, more than ever, clear communication is the number one priority. Today’s society demands it. Establishing the guidelines for a clear, streamlined, and efficient communication channel with your recovery agents is an excellent way to begin.
Ask yourself this question: Do your recovery agents always give you prompt, automated progress updates on all outstanding repossessions?
Knowing that credit unions will be more confident of recovery agents that communicate well, here are a few tips from Repo Remarketing’s team:
- Reliable Communication – includes developing trust with frequent, clear updates and concise information ‘both ways’;
- Be prepared to dig deeper into the collection file to look for additional points of contact that can be valuable to the recovery agent;
- Determine a frequency of contact that meets your needs. A good standard is to receive an update with 24 hours and then every 72 hours, or more frequently as information is received;
- Set-up specific communication ‘check-points’ that are in writing much like a score card that is monitored and discussed at least quarterly;
- Agents should use automation, such technology as web services, repo systems, or at least as e-mail for repossession progress updates;
- Prompt notification of repossessions is essential;
- Be prepared to communicate as soon as requests for information from your agents are received;
- Make sure that your communication system has checks and balances so that no file is neglected; and
- Have a game plan and a timeline on when to escalate an account into further resources, ‘skip’ where internal is better
About Repo Remarketing Repo Remarketing provides a trustworthy bridge to recover and liquidate inventory efficiently using proven industry standard principals with advanced technology, adapted expressly for credit unions.
Questions? Contact Sales & Marketing Associate Craig Reed: 206.340.4789, email@example.com.
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