With a large majority of business owners, local councils and government agencies experiencing budgetary and cash flow challenges in the wake of the COVID-19 pandemic, it’s more important than ever that they can successfully recover their debts. So here are Lateral’s top 5 debt recovery activities.
1. Have Accurate Data on Your Debtors
Reliable and accurate data supports effective decisions, which in turn help drive your debt recovery and debt collection processes. When pursuing debts accurate data — namely addresses, contact details and financial status — will reduce costs for you, and increase customer and client satisfaction. The leading debt recovery software and debt collection software can leverage data validation tools, to make sure contact details and addresses are accurate and up to date.
2. Let Artificial Intelligence and Machine Learning Work For You
There’s no doubt that Artificial Intelligence (AI) and Machine Learning (ML) are powering the future of debt recovery. The debt collection strategies of the past have been time consuming, expensive, and ineffective. But today debt recovery software, powered by AI, enables local councils, government agencies and businesses of all sizes to leverage the power of advanced analytics to their advantage.
3. Provide a Solution
Rather than hounding debtors with excessive communications via text, call or email, it’s prudent to approach them with a solution; a proposed payment plan. A fair, mutually-agreed upon payment schedule can most accurately be ascertained via a Single View of Customer (SVoC). This is a means to manage and present all data relating to an individual customer or citizen in one single record and location. A single view of this debt leads to more accurate reporting on the entire debt of the individual. So instead of disparate departments competing for debt, a holistic approach is generated. And more debt is recovered.
4. Be Compliant
Businesses and local authorities are being subjected to increased regulatory demands in the wake of the COVID-19 pandemic. The Breathing Space Regulations, which are soon to be instituted, will give people in problem debt the right to legal protections from their creditors for a defined period of time. The regulations come into force on 4th May 2021. As such, you should invest in debt collection and debt recovery software that automates the management and accounting process of recovering debt within the strict parameters of current legislation and regulatory demands.
5. Communicate Using an Omnichannel Method
When you’re free to pursue your debt, the omnichannel method is the best approach. It’s a digital approach to debt recovery, which is about communicating with debtors via convenient channels they are familiar with, such as email, SMS or Live Chat. This process, which can be automated via debt recovery software, reduces the efforts placed on time-consuming tasks, and enhances customer satisfaction.
To learn more about how Lateral’s debt recovery software and debt collection software leverages AI to automate collections processes, and help you adapt and evolve, get in touch today.