The Exact platform uses predictive credit analysis to facilitate proactive mortgage account administration and collection strategies, delivering improved performance for lenders and borrowers. Exact clients can access 100% up to date management information on the performance of their book 24/7.
Proactive credit analysis starts from day one, ensuring optimum collection strategies are selected for each individual borrower. Understanding borrowers’ individual circumstances at today’s date means Exact is able to offer the appropriate help to borrowers in financial distress, treating them fairly – Intelligent Mortgage Servicing is the polar opposite of a one-size-fits-all approach to collections.
Alan Cleary, managing director of Exact Mortgage Experts, said, “In the past servicing has been seen as a dull, process driven series of cogs – send out a letter, send out another letter, send out a third letter. That attitude has to change. The mortgage industry is a very different beast now compared to two years ago and TCF has to be a lender’s top priority. It’s not just about fulfilling TCF obligations either: in the current economy, a badly managed mortgage book has the power to bring an organisation to its knees – we’ve already seen it happen.”
As mortgage arrears rates rocket, managing the collections process efficiently is swiftly becoming the main concern for lenders. Exact’s Intelligent Mortgage Servicing is a new approach to mortgage servicing – effectively Exact can monitor the credit performance of existing customers to identify changes in behaviour and provide up to date risk assessment. This knowledge means Exact can apply an intelligent and appropriate collections strategy to loans, satisfying both TCF requirements and making the most efficient use of a lender’s servicing budget.
Cleary continued, “We saw a niche for Intelligent Mortgage Servicing in a market where incumbent servicers are relying on letter sending and telephoning but with no real thinking behind it. In a benign housing market, poor servicers could hide behind rising house prices, but the market’s done a U-turn. Lenders need to be intelligent about how they approach arrears management or they will lose more money than is necessary - the underlying asset value no longer provides a buffer when things go wrong with the borrower’s ability to pay.
“Equally, a one-size-fits-all approach to borrowers in arrears just isn’t good enough anymore. The third party servicing sector is long overdue for a shake-out – people have got complacent in their attitudes to servicing, and there’s no place in this market for lenders who don’t treat their customers fairly. Exact has the experience, expertise and knowledge to deliver superior performance in line with regulation. Don’t put up with mediocrity any more.”
