Experian has launched the Experian Collections Network, a comprehensive service that the company says aims to improve data accuracy in the collections marketplace and ensure customers are treated fairly.
The Experian Collections Network will help businesses establish and implement clear, effective and appropriate policies and procedures for engaging with customers according to their individual circumstances around debt. The scheme will facilitate improved operational compliance by bringing data sources together to help organisations adhere to Office of Fair Trading (OFT) debt collection guidelines, consolidate customer contact and streamline the customer experience.
The new platform enables transparent matching of data between creditors, customer representatives, debt collection agencies and debt buyers, and as such offers enhanced compliance benefits, as well as more accurate customer information. Experian’s Collections Network uses sophisticated software and pinning technology (ExPin) to ensure the most recent and appropriate information about a customer is utilised.
This latest innovation from Experian comes as the debt collections industry faces increased scrutiny around the fair treatment of customers when engaging in debt recovery activity. Coupled with changes to the OFT’s debt collection guidelines announced in October 2011, there is a new drive for businesses to take proactive measures to enhance regulatory compliance and the customer experience.
A recent survey found that 71 percent and 70 percent of respondents in the financial services and debt collection sectors, respectively, stated they were experiencing some difficulty in demonstrating compliance in response to industry regulations.
With the proposed changes in regulatory regime and migration to the Financial Conduct Authority (FCA) in 2014, consumer credit businesses have an increased burden to evidence strong compliance practices.