nice people collect more for governments
TRANSCRIPT
Nice People Collect More®
2012 Government Revenue Collection Association
4th Annual GRCA Collector TrainingSan Diego, CA
September 17-19 2012
Is this your Taxpayer?
Changes in Communication1970’s
Little Technology
1980’s
Limited Technology
1990’s
Internet GrowthAdvancing Technology
2000’s
Web Advanced Technology
Someone was home to answer the phone most of the time. Life was good.
Predictive Dialers and IVR’s are invented and allow for increased contact rates
Answering machines and Caller ID negate increased contact rates and allow people to carefully screen calls.
Cell Phones and text messaging replacelandlines as primary communication source.
A letter was much cheaper than a phone call.
People generally responded to collection efforts
Phone costs come down as deregulation creates competition. Mobile Phones are introduced but expensive.
PC’s enter the home but slow connection speeds limit online usage
Broadband grows exponentially and continues to drive content to the web.
Communication habits are changing
0
20
40
60
Phone Letters Dialers Recordings(IVR)
Other
1970's
1980's
1990's
2000's
Changes in Communication- Contact Success Rates
Web
Cell
Text
What has changed in the last few years?
• The average person today is exposed to more information in one week than most people learned in a lifetime 100 years ago.
• People want everything faster and will not wait in line unless absolutely necessary.
• Physical Check has decreased to just 20% in 2011. • 75% of all payments will be electronic this year. • Less than 20% of all consumers did not pay at least one bill online in 2011.• More payments are made at individual websites versus bank on-line bill
payment.• E-Payment and E-invoicing is green technology, is significantly cheaper,
therefore merchants and banks will continue to push for it.• Smart retailers like Apple ring up your sale and deliver the product at the point
of store contact thereby increasing customer satisfaction.
People want everything now.
Evolution of “NOW”
Photocopiers, (Xerox this!)
Overnight Delivery, (Federal Express Founded 1971),
Answering Machines, 1983 - Virtually 100% with cell phones today,
Card-less Collection Systems, 1986
Car Phones, 1984
Auto-Dialers 1981
ANI (Caller ID), 1989 virtually 100% saturation with cell phones today.
Beepers, Sky-Tel (First Satellite Text Messaging) 1988
Predictive Dialers, 1986
Checks by Phone, 1991
World Wide Web, Invented in the 1950’s but exploded after 2000.
Cell Phones, 2000’s
Instant Messenger, 2000’s
Intelligent Voice Response (IVR), 1990’s
Personal Communication Device (PCD), Palm, Blackberry, I-Phone, etc. 2000’s
Instant Text Messaging – 2000’s EXPLOSION.
Virtual Agent - Online Collections - 2008Every one of these innovations was driven by faster response times.
The Evolution of “NOW”
Social Networking – Over 50% of the world’s population is under 30 years old.Facebook tops Google in weekly traffic since 2010.Kindergartens are learning on IPADS.More than 5 Billion pieces of information are shared and uploaded weekly. The amount of time spent on social networking sites now surpass TV time. 2 Trillion Tweets in 2011. Your “CUSTOMER” spends most of their free time on the web via their cell phone, computer or ipad.
010)
Some suggestions for government debt collection.
•Virtual Agent Site with payment options
•Delinquent Taxpayer Website with payment options
•Online Chat
THINKING OUTSIDE THE BOX
VIRTUAL COLLECTIONS
A virtual agent takes the taxpayer through a series of questions about their account, resolves disputes, gathers information and collects the payment, 24,7,365. It reduces expenses and improves customer service for any call center application.
Model it after your best collector
Why are you not paying the balance?
Payment plans?
Gather disputes?
Gather proposals?
Can be customized by type of debt if desired,
Bi-lingual
Collects credit card, ACH payments.
Would you like to pay the BIF?
yes no
Pay PlansSettlementsDisputes
Payment EngineACH Credit Card
You build a decision tree and lead the debtor down the path to self-resolution.
A Virtual Collector Benefits to your customerThe power of “NOW”.
Responds promptly – never a wait, multiple concurrent sessions,Takes customer payments quickly and efficiently,Can perform the same function as your live agents,Use to collect new information, updates phone numbers, employment, address changes etc. Integrates with online databases such as credit bureaus and DMV’s,Speaks multiple languages,Solves customer service issues online,Agent intelligence can include dispute, handling, payment plans and questions and more,Integrate with online chat for special situations.
One website for delinquent taxpayers keeps them focused.
When someone visits your website, it’s a special occasion…
Evolution of WebsitesMost companies developed websites reluctantly in the 90’s.
Cluttered – Your site should not be “one site fits all”.
Distracting colors, flash objects, animations, etc.
Your Website should not be an online brochure.
Your debtors should not be directed to your government site to pay their bill, it’s too cluttered and they get frustrated.
Websites today are developed for specific applications to focus attention one “one thing”. (television versus print). Your goal is to have a website just for your application (i.e. collecting delinquent taxes).
Get the visual senses involved.Is your Website trying to accomplish too much or not enough?
The WEB could be the primary vehicle for communication
in the future
ACCESS Promotes its 2mybill.com virtual agent in every communication with the debtor.
1. We put a friendly statement on all notices that notifies our customer (debtor) of the ability to self-resolve online.
2. All outbound messages left include a statement about resolving their account online at 2mybill.com.
3. Inbound on-hold messages also inform the debtor of their ability to resolve their account on-line,
4. Statement Stuffers
Step 1 – Build it
Step 2 - Promote it
Statement Stuffer
Statement Stuffers are doubled sided- English/Spanish and are distributed with every letter.
Review The Account•What was the last action?•How old is the account?•Have any payments been made on the account?•Did the debtor make a promise?•Do you have good contact information?•Who is the responsible party?•When was the account last worked?
This task can all be accomplished while you are dialing the number.
Suggested Internal Collection Procedures
The Talk OFF
The secret to success in collections is to lead your customer down the path to success.
Your customer then goes through a series of “drops” based on their answers and are presented with numerous options to pay, buy or solve an issue.
Active Listening•Develop your “7th sense”.•Listen attentively to understand the customer’s point of view•Allow customers to vent•Refrain from interrupting•Ask probing questions to discern the “REAL” facts•Pay attention to subtle clues like the customer’s demeanor and tone inflection
Persuasion•Effectively responding to objections and arguments•Being assertive and helpful rather than aggressive•Creating a sense of urgency•Conveying firm expectations•Being persistent•Negotiating a mutually acceptable agreement
Let’s take a closer look at why their angry, frustrated and tired.
• They have no solution to the problem and they are fearful.
• Personal Circumstances • Divorce• Health Issues• Extended Unemployment• Bad Choices in the Past
• They don’t feel they owe it.
Handle ObjectionsTypes of Objections
•Circumstantial•Emotional•Intellectual•Fraudulent
•Circumstantial•Medical Issues•Loss of Job•Divorce•Natural Disaster
•Emotional•These consumers believe that they deserve the service even though they are not able to afford it.
•It’s not my fault
•Intellectual•These consumers usually have the ability to pay but have poor records or do not budget their money accordingly
•Fraudulent•These individuals never intended to pay.
Money DropsBIF •Balance by Credit Card
•Balance by ACH
PDC •Post Dated Check
PPA •Down Payment•Realistic Terms
•Secure a down payment•Can you pay at least 50% down today and the balance by the end of the month?
•Liquidate the debt in the shortest possible time•Be realistic•Identify Money Sources
•Employment•Savings•Parents •Relative •Loan•Life Insurance •401K •Other
•Once the payment plan is set, make sure that the debtor understands that it is a one time accommodation, not the rule.
Customer Consequences•If no payment is received, what are the consequences?
•Placement for Collection•Credit Bureau Reporting• Refund Capture• Garnishment
•If there are no consequences for non-payment, why should they pay the bill?
Subsequent Contact•If at first you don’t succeed…
•Was a promise broken?•Has there been a change since the first contact?•Does the debtor have a proposed solution to the problem?•Can the debtor get on a temporary payment plan?
For More Information on implementing any of these procedures in-house
contact
Tom Gillespie - President410-494-1751
Access Receivables200 East Joppa Road
Towson MD 21286www.acccess-receivables.com