7 questions to help evaluate the efficacy of your collections operation

As delinquencies begin to rise, your institution may be evaluating your internal operations and expenses to help you determine potential costs and impacts of scaling your collections department, compared to outsourcing one or more aspects of your operation to a third party.

As you evaluate your collections operation, here are seven questions to ask yourself and your team to determine what option best fits your institution’s needs.

1. What is your team’s impact at various collection stages?

The most successful contact strategies require different tactics at various stages of the collections life cycle.

If you don’t have the available staff to make potentially hundreds of calls per day, your correct-party contact rates could suffer. Or, perhaps your collectors have the most impact during the mid or late stage when they have the opportunity to leverage relationships and creative collections methods.

 

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