Hearing from debt collectors is a stressful experience for debtors, as most never intended to exploit their creditors. Financial struggle still carries a harsh stigma, and can cause debtors to ignore money owed. By focusing on making repayments easier for your customers, you reduce the panic of the situation and are more likely to see the balance returned in full.

What makes up a debtor-oriented approach?

Accepting Stigma

Allow customers to be open about their financial situation; if they are unable to spare any money after living expenses, pressuring them won’t yield results. It’s hard to ask for financial help - 52% of people believe there is a negative stigma surrounding this. By establishing that you are open to hearing their circumstances, you greatly improve your relationship with your customer. If there are any issues in the future, they’re more likely to be upfront about it so you can find a solution.

Creating a Payment Plan

Communicate from the start that while the balance in full is ideal for all parties, you are willing to create a payment plan based on what a customer can afford. By making this apparent you’re less likely to scare a customer with the balance owed and can start recovering the balance sooner.

Accessibility

Technology has brought us countless ways to be more efficient and accessible to customers. Various agencies use online portals, mobile apps, and web payments to make it easier than ever to fulfil a payment - the easier it is, the less a customer with full intent to pay will put it off. 87% of adults in the UK own a smartphone; If you aren’t making online tools available to your customers, you’re missing out on improving key elements of customer experience.

Customer Service

Having a customer-first approach has to extend to the tone of your interactions. Being courteous is not only good practice, but aggressive or too much contact is harassment. Really addressing complaints and being available when a debtor needs you, not just when you need their money is important to maintain a functional relationship with the customer, and by extension sustain repayments.

Choosing the right agency for your Debtor

If you’re looking for a debt collection agency that can approach your debtors with the manner and resources they need to settle a debt with you, get in touch. We have a number of accessibility and affordability solutions to suit our debtors, and to be able to deliver results for creditors.

If you’re interested in K2 Collections’ services, contact us by phone on 0333 772 0278 or by email at [email protected].