MSECU Teams with CU*SOUTH to Lower Delinquency by 71%

A collaborative effort with CU*SOUTH’s Managed Services Collections and Lending has dramatically lowered MSECU’s delinquency rate, recovered a substantial amount of money and preserved member relationships with the credit union.

Fairhope, AL.  October 11, 2011 In the space of one year, Massachusetts State Employees Credit Union has seen its delinquency rate drop to 1.68% from  5.88%  through a joint effort with CU*SOUTH’s Managed Services Collections and Lending.  The team, which included MSECU’s  Ed Connors, Susan Killory, Fred Connor, Bob McDonald and Claire Sheehan,  worked with CU*SOUTH’s Rebecca Weemes to additionally recover over $65,ooo in charged-off credit card and consumer loans.

Equally important to MSECU’s goal of lowered delinquencies was the credit union’s ability to collect on the loan but not lose the member, an approach emphasized by CU*SOUTH.

“We are first and foremost member-oriented,” noted Rebecca Weemes, manager of MSCL. “We work for the credit union, and the credit union is the members. Restoring the member to good standing and redeeming the delinquency can’t be separated.”  Lack of communication often leaves members unaware of the credit union’s policies available to offer assistance in a hardship situation, said Weemes.

“One of the first things we do with the credit union is to identify struggling members who fit the credit union’s criteria for deferments, rewrites, modifications or other aid,” Weemes stated. “We can get some immediate relief, both for the member and the credit union, right from the start.”

Managed Services Collections and Lending has developed and refined an artisan approach to helping members, described by Weemes as “…completely unlike the disinterested, call-quota method used by third party collectors. It is remarkably effective in recovering loans and payments, and putting your member back in good standing.”