October 09, 2009

Client #826 is one of the nations largest Consumer Credit Card Issuers with Managed assets of over 1.5 Billion. PRS began working with the card issuer in November of 2004 to help reduce the number of charge-offs due to delinquency. #826 needed to staff quickly and establish a long-term agency to help control their receivables. PRS participated in a selection process which included 8 agencies. The passing criteria consisted of verified security policies, technology, bookkeeping, automated processes, company size, expansion potential, experience with credit card portfolio’s and a proven performance history.
CARD ISSUERS RISING DELINQUENCIES
After being selected as an agency of choice, PRS competed in a Champion Challenger Project. Where PRS competed in a tournament of collection strategy with some of the Accounts Receivable industries most respected agencies. This battle of portfolio management lasted 6 months. During this period, PRS performance decreasing delinquent roll rates from 5% to 3.85%.
PRS INSURED A POSITIVE CHANGE
The success of the testing phase resulted in consistent customer account placement to PRS. Prior to customers being forwarded, non-performing accounts were managed by an internal customer service department. Specialty programs were use to re-age accounts, lower interest rates and reduce overall required payments. The average account balance was $850.00 and 30 -120 days pass due upon arrival at PRS. Client #826 needed to address a large volume of accounts within 30 days. PRS constructed a 30 collector, pre-collect solution within 28 days. The following 60 days of performance exceeded #826’s goals. To date, #826 has placed $1,142,338,936 with PRS. 105,308 accounts have been collected with a cure rate of 43%.
LONG-TERM SOLUTION & RESULTS