Last month our update focused on the increasing pressure that the FCA is applying on lenders to ensure compliance with its fair treatment of borrowers’ requirements, especially those in financial difficulty. Since then, we have seen the Government publish a ‘vulnerability’ toolkit and this is what we will discuss this month.
The toolkit is designed to ensure that front line staff recognise vulnerable customers and that they apply appropriate safeguarding measures so that such customers are handled with compassion. It is a comprehensive toolkit and builds on the work carried out by the Money Advice Trust and StepChange Debt Charity and develops their well-known vulnerability protocols TEXAS, IDEA, CARES and BRUCE.
The timing of the toolkit could not be better. Of course, regulators already have a focus on good governance and oversight, including the requirements in the Consumer Credit sourcebook (CONC) and Mortgages and Home Finance: Conduct of Business sourcebook (MCOB). But there are some key issues on the horizon with the government furlough scheme coming to an end and a rapid uptick in inflation with resultant household budgets under renewed pressure. As a result, lenders are bracing themselves for an increase in collections and arrears calls and it is in this area that the toolkit could help.
While it and existing protocols will be of great assistance to call agents, there are better ways of ensuring customer circumstances are correctly identified using modern ‘voice interaction analytics’ to identify vulnerability, financial difficulties, or customer dissatisfaction. Having identified the facts and needs, technology can also monitor and report if the correct pathways were then adopted. This is where Yabber comes in. We not only have the technology to do this, but we can also efficiently and cost-effectively monitor 100% of call centre interactions. In the “if you can’t prove what you say you said, you didn’t say it” world, embracing such technology has never been more critical.
Yabber helps firms improve compliance, reduce costs, and increase revenue. To learn more, arrange a demo of the system or simply have a chat, give us a call to find out how we can help. We will also be with our Rockstead colleagues exhibiting at Global ABS 2021 later this month (London 27 and 28 September 2021) – call by our stand to see how we can help.