“Spring is all about new beginnings, spring cleaning & planting of crops. Obviously, the same will apply to finances. Although debt eradication is not a seasonal problem, it is now a crucial time to look at your credit standing and “spring clean” finances.
There are a lot of people out there who don’t believe they need help. Consumers also face short-term financial difficulties, ranging from missed & late checks to a canceled card or a retail account. Some often “forget” the account that was handed over without understanding that the credit bureau doesn’t forget about it. The end result is of course, a low credit score and a negative impact on customer credit scores. It becomes a big obstacle for customers to re-apply to fund a new car, a new property or a student loan.”
A significant factor in this “forgotten account” phenomenon is that unlike typical bills, after the account has been handed over and, finally, the verdict passed against the user, there is no daily notification (in terms of invoice or statement) of the adverse judgment. There is also a longer amount of time from the time of the unfavorable decision to the next time the customer asks for credit. As a result, at the time of the latest loan filing, the adverse decision has raised its ugly head; and the credit facility has refused. The effect, especially when credit is needed for a vital, life-changing cost (student loans instantly come to mind) may be a significant setback for the customer.
People also see debt counseling and debt review as a last resort option — something that should only be considered at the very end of the day after anything else fails. Most of the reasons behind this assumption is that customers are ignorant of the debt review and debt advice systems. This is exacerbated by the (incorrect assumption that if a person goes through debt analysis and receives debt advice, they will never again be qualified for credit. The basic fact of the matter is that debt review & debt advice is in essence, the first-choice option for over-indebtedness assistance. Our industry has to work extra hard to shift the negative image of debt examination and debt advice.
Part of our communications campaign at The Pioneer Community is to increase awareness and inform our client base and the general public about the mechanisms, procedures and importance of debt review. One of our priorities in this approach is to shift the negative attitudes and stigma associated with finding assistance with debt management. It must be noted that debt review and debt counseling is a legitimate, efficient method planned and legislated to benefit borrowers rather than penalize or prosecute them. We are now working to raise awareness that it is not just employers who are eligible for debt review & debt advice, but also pensioners and self-employed workers who are similarly eligible.
As in every service offering, customer loyalty relies almost exclusively on the skill level and experience of the service consultant. No number of marketing campaigns and boardroom debates (on their own) will replace the carbon-faced contact between the consumer and the service agent. We know and understand this very well which is why we have spent significant energy on our workforce preparation, internal awareness programs, feedback sessions (with our service agents) and the overall growth of our human resource capability. Likewise, our (external) awareness strategies are evolving to make it clear that debt counseling and debt review is no longer a last resort, but rather a first step to be taken as soon as you believe like your debt is taking over your life. Life is about living, not paying for living or paying for living.
