Consumer finance education can be a powerful tool for increasing receivables, reducing compliance risk, and producing stronger customer relationships. However, helping people become more financially literate about credit and debt issues is difficult, especially when delinquency and collections come into play.
An education-inclusive approach to ARM strategy, resources, and support can improve customer engagement and lead to more favorable contact outcomes. A commitment to consumer education is especially valuable in long-term situations—including debt related to education, auto, mortgage, and healthcare — that may involve shifting consumer attitudes and circumstances over time.
This eBook examines the value of educating customers about their credit responsibilities and repayment of debt. It shows how ARM practitioners can enhance asset recovery through improved customer literacy.