With credit card delinquencies up 25 percent and mortgages nearly 90 percent, FinTech vendors are scrambling to update collections and loan modification products for banks. Fiserv this month introduced a streamlined modification service that enhances its existing home retention solution, which was launched last June, adding features for reaching out and automating repayment terms for troubled customers, as well as support incoming government programs designed to stave off foreclosure.
The new tools and support features include “one-touch” customer contact and e-document workflow that speeds up the workout, stemming some of the volume demand that has crippled some servers’ and lenders’ operations. Next up: Fair Isaac, which issued a delinquency management product as part of its overall decision management suite that incorporates collection scores to prioritize customers on risk and likeliness of response. Fair Isaac’s debt manager also can steer less-risky customers to self-service channels, and provide first-call resolution for workout plans. “Collections has moved to center stage in the current environment, not only for revenue recovery, but also to increase profitability,” said Dennis Moroney, research director at TowerGroup, in a statement.