After origination a loan may enter the deferment stage where repayment is delayed for a set amount of time, often several months. A lender should design a comprehensive communication strategy for the deferment stage in order to ensure their borrowers are prepared for the start of repayment.
Communicate regularly with borrowers to improve repayment rates.
Lenders should establish regular borrower communication immediately after loan origination. A delay in contact increases the risk that borrowers will fail to remember or be unprepared for repayment. Communication can be electronic or by mail and should include a way for borrowers to contact the lender with questions about their loan.
Prepare borrowers for the start of repayment to avoid delinquency.
As a loan approaches repayment, it’s important for borrowers to clearly understand their obligations and payment options to ensure the loan is paid on time. Communication should begin during deferment and include instructions on how to make payments, view billing information, and who to contact with questions regarding repayment.
Goal Solutions provides lenders with enhanced loan management solutions that include borrower outreach to improve repayment rates. Our 100% US-based customer service team educates and prepares borrowers for the start of repayment.
We can improve your borrower communication strategy. Contact us today at [email protected].