Collections & Credit Risk articles from February 2009

Collections & Credit Risk archives from February 2009

Time Flies ... But Are You Having Fun?(Editor's Note)
February 1, 2009... Byline: Darren Waggoner, Editor 2009 marks a small milestone in my life. Indulge me, if you will, as I take a little space to reflect. If I haven't yet had a chance to meet you, please consider this a brief introduction. Ten years ago,...

Will Sellers Wait Out the Buyers' Market? The economic downturn has debt buyers and sellers trying to understand where prices are headed and how much debt will hit the market in 2009.(Debt Sales)
February 1, 2009... Byline: Darren Waggoner and Maria Aspan Bad-debt prices are down across the board yet buyers are having trouble capitalizing on the discounts as creditors retrench and rethink the bottom-line benefits behind selling. From credit cards...

Debt Buying's Capital Drought; Financing for debt purchases dries up as buyers hunt for funding sources.(Cover Story)
February 1, 2009... It comes as little surprise and no comfort that the big question facing debt buyers nowadays is the same one most American businesses are asking: Where's the money? The lack of capital available to finance debt purchases, just like any...

Collectors Embrace A Softer Approach; The sinking economy has left more otherwise responsible consumers unable to meet their financial obligations. Debt collectors react by tweaking their methods.(Risk Management)
February 1, 2009... Byline: Elayne Demby Given today's economic realities, with growing numbers of individuals who previously never missed a payment now in debt, collectors might want to rethink whether a traditional - arguably more aggressive - approach is...

New Year, Old Questions; Predictions for the payments world in 2009 are depressing but industry experts note bright spots of opportunity.(Credit Cards)
February 1, 2009... Byline: Nadia Oehlsen The story is as old as the recession itself, which economists declare officially began in December 2007: Easy credit, the sugar daddy of so many consumer economies around the world, has turned sour. The impact has...

Managing Risk in The New Credit Environment; The credit crisis has changed many of the risk management rules that industry insiders had perfected. It is time to make some strategic adjustments.(Guest Column)
February 1, 2009... Byline: Edmund V. Tribue, MasterCard Advisors Every economic downturn has its own unique characteristics. Accordingly, companies that follow the playbook from past recessions probably will focus too many resources on traditional marketing...

Stats.
February 1, 2009... A National Score Index study conducted by Experian Consumer Direct shows the average amount of money owed per individual on revolving credit accounts, such as credit cards, and fixed payment accounts, such as auto loans, but excluding...

Our readers discuss the challenges awaiting the collection industry in 2009.(Letters)
February 1, 2009... How the economy is impacting the collection industry is bittersweet. Placements are on the rise but revenue recovery is on the decline. Hence, expenses are up and income is down. The irony is that more placements spell opportunities for...

Households Pay Down Debts For First Time.(News & Analysis)
February 1, 2009... U.S. households reacted to declining home values, a plunging stock market and the loss of an estimated $2.8 trillion in collective net wealth by paying down their debts for the first time on record - since 1952, the Federal Reserve reported in...

Industry News.(News & Analysis)(Company overview)
February 1, 2009... EBureau, a St. Cloud, Minn.-based provider of predictive scoring and information solutions, announced a business and technology partnership with Ontario Systems, a Muncie, Ind.-based provider of collection software for agencies and debt...

Credit Card Debt On The Rise.(News & Analysis)
February 1, 2009... Consumers' incidence of bankcard delinquency and debt increased in the third quarter of 2008. Presumably, growing unemployment and shrinking disposable income proved to be enough to overcome financial lenders' efforts to diminish their exposure...

Economists: Recession To End In Late 2009.(News & Analysis)
February 1, 2009... Economic conditions will continue to worsen through the second half of 2009 before circumstances begin to improve, senior economists at Wells Fargo & Co. predicted during an annual forecast teleconference held in late 2008. Approximately...

Court Rules Against Collection Agency Afni.(News & Analysis)
February 1, 2009... Afni Inc., a collection agency in Bloomington, Ill., must pay damages to 7,000 Cingular Wireless customers in Wisconsin after illegally charging fees, according to a federal appeals court ruling in November. Afni allegedly charged...

Collection Agencies, Debt Buyers Consider Health Care Debt.(News & Analysis)
February 1, 2009... Collection industry insiders have speculated for the greater part of a decade that bad debt from hospitals and physician groups is poised to become a huge growth area. While health care debt in the U.S. soared, the boom for collection...

Star Qualities; Kristin Dougherty's career took a turn for the better - from data entry temp to debt-buying difference maker.(Profile)(Occupation overview)
February 1, 2009... Byline: Elayne Demby and Bill Grabarek Kristin Dougherty, without a doubt, did not grow up telling folks she wanted to be a debt buyer. But when she "accidentally" landed in the business, she did not waste time making her mark. After...