Financial Difficulties

Digital collections effectiveness

New report from our survey on digital collections effectiveness. A couple of trends stood out Digital is a good means for initial contact or starting customer engagement. Shake things up - use diverse templates and approaches Once engaged human connection and interaction becomes increasingly important Old channels still important for no-contact segments ContactEffectivenessSurveyFinal... Access this content for FREE by signing up for ROAR Membership. Join with a Basic (free) or Plus membership (for extra features). Create an account by clicking… Read more

Collections effectiveness

New report from our survey on Global collections effectiveness - across multiple markets. A couple of trends really stand out The consumer appears to be under increasing strain which is only gradually starting to flow through to collections volumes. However, many customers are new to the collections process and have currently have a good credit rating.  Some of these consumers are using additional borrowing to help make ends meet, and this could represent a large future risk (and future collections… Read more

[INSIGHTS] : Financial Lives Study Update

An update on the Financial lives study today from the FCA. Unfortunately, it does not seem to be getting better for many consumers. Separately I have also been analysing the early release data from the FCA. The Interactive graphic is pasted below for you to have a look and explore of the data too. A couple of observations % consumers with low resilience appears to be increasing% Increase is in the 55-64 age range, more in London and South WestKeeping… Read more

[INSIGHTS] : Cost of living trends

The impact of the rising cost of living on individuals seeking help from National Debtline in the UK is concerning. A recent report highlights the challenges faced by callers, including falling behind on bills, increasing debt levels, and reliance on credit. The document reveals the worsening trends in affordability and financial difficulties. “Debt storm brewing” as more struggle with household bills Key Summary Points Rising cost of living has strained household budgets, leading to many UK households going without essentials.National… Read more

[INSIGHTS] : FCA Financial Lives Study

In 2022 the FCA completed and released its Financial Lives Study. This was an extensive piece of research looking at consumers, their interaction with financial services products and financial resilience. The study has been highly informative and influential in the UK around the topics of vulnerability, characteristics to identify vulnerability, and issues around financial resilience. Links to the reports are available below, with our summary below this. Financial Lives Survey: 2023 6 month update Financial Lives Survey: 2022 Summary Financial… Read more

[INSIGHTS] : FCA Consumer Duty Summary

The deadline for the FCA consumer duty is looming, July 31st and there is plenty to do. This is a summary of the original guidance from the FCA, containing the rules for compliance. You can access the full document below. https://www.fca.org.uk/publication/finalised-guidance/fg22-5.pdf Summary This provides guidance for firms on complying with the Consumer Duty, emphasizing the importance of consumer support, designing products and services for the target market, and avoiding unreasonable barriers. It covers key considerations such as identifying the target… Read more