COVID-19 and the cost of living crisis has heavily impacted Local Authorities in the collection of debt.
At Reventus Enforcement Agents, we have used this challenging time rethinking the traditional methods of Enforcement and further redefining our processes and digital communication methods for Local Authority debt collection. Our ethos has always been to protect the vulnerable and support them to get out of debt, and we have always focused heavily on improving our success rates to offer more value to our clients.
In order to maximise recovery, decisions need to be data driven and that data needs to be current and accurate. Using forensic tracing through enriched data as opposed to industry standard bulk tracing methods, we are provided with a thorough understanding of the customers financial situation prior to contact with them. Our dedicated analyst team using our eTrace® technology has an 80% success rate in tracing customers which leads to fast, efficient and fair collections for our Local Authority clients.
People don’t get into debt by choice, so supporting them to manage their debt effectively, and become free of debt, benefits both the client and the customer. By using data enrichment processes, we are able to detect financial vulnerability and segment our customers relative to their situation:
Those that are trying to repay their debt but do not have enough income to cover their debt repayments
Those who are not prioritising the important debts first
Those who do not want to pay but can
This allows us to identify vulnerability before contact has even been made and their case will be passed to our Welfare Team to provide alternative collection pathways. We have also been developing further relationships with the free debt advice sector and debt charities, to effectively signpost our vulnerable customers, so that they receive additional support.
We have been developing our debt segmentation collection pathways and we have built a bespoke digital communication platform, to be able to engage with our customers more effectively. We are confident that this will increase digital engagement to avoid the need of doorstep visits and increase recovery rates. The way we deal with debt collection in the enforcement industry reflects on the Local Authorities, we work differently to protect the reputation of our Local Authority clients, still ensuring a high collection rate, but also focusing on the wellbeing and vulnerability of our customers.
COVID-19 gave us time to reflect and rethink the traditional methods of Local Authority debt collection. Our focus is centred on a new approach to data driven intelligent recovery processes and digital engagement, to reduce the need for doorstep visits
Sustainable solutions for getting your customers out of debt
Debt segmentation
Optimising collection strategies for each segment
Early focus on identifying vulnerability pre-compliance and providing alternative collection pathways
Consistent collaboration with Local Authority clients to enrich data and enhance early engagement
Bringing digital engagement into sharp focus
Actionable policies and procedures
Maximising value for each client
To discuss how our new approach to debt collection can benefit your Local Authority, please contact our team.