/

Case Studies

/

A leading private bank harnesses behavioral science to enhance delinquency resolution

A leading private bank harnesses behavioral science to enhance delinquency resolution

A leading private bank harnesses behavioral science to enhance delinquency resolution

How a data-backed approach transformed collections

How a data-backed approach transformed collections

Agent-friendly approach

Seamless scalability

Enhanced efficiency

Improved resolution rate

The challenge

Navigating the complexities of delinquency resolution

Delinquency is a complex challenge for both financial institutions and credit consumers. For consumers, it is often an unfamiliar and distressing situation, frequently tied to temporary or permanent financial difficulties. As a result, they struggle to cope and exhibit avoidance behaviorsbecoming difficult to contact or making commitments they cannot fulfill. This not only impacts recovery rates but also places a significant operational and emotional burden on service agents.

Key challenges

  • Consumers evade contact, hindering resolution

  • Commitments made but rarely fulfilled

  • Inefficiencies drive up expenses and write-offs

  • Low resolution rates impact morale

The solution

Behavioral strategies for delinquency resolution

Strengthening commitment

Reinforced intent to pay

Encouraged follow-through

Strengthened ownership

Driving payment priority

Highlighted risks

Created obligation

Prioritized payments

Implementation approach

1

Segmented scripts

  • Stage-based customization

  • Targeted communication

  • Aligned with mindsets

2

Nationwide rollout

  • Nationwide deployment

  • Standardized process

  • Enhanced interactions

3

Easy adoption

  • Minimal training

  • Seamless integration

  • Scalable execution

The impact

Maximizing resolution success

Agent engagement

  • Effective scripts

  • Positive customer response

  • Boosted agent confidence

Scalability and efficiency

  • Seamless nationwide scaling

  • Consistent execution

  • Minimal disruption

Key results

  • 40% fewer connects

  • 20% fewer unresolved cases

  • Improved recovery rates

Looking ahead

Continuous optimization

  • Refining strategies for greater impact

Wider implementation

  • Expanding solutions across more touchpoints

Enhanced personalization

  • Tailoring approaches for diverse consumer segments