In today’s lending landscape, asset-based lenders face unique challenges with rising default rates and disengaged borrowers. When accounts become unresponsive and payments stall, lenders need a more proactive approach to reestablish contact while preserving customer relationships.
Asset Compliant Solutions (ACS) now offers in-person Door Knocks to bridge this unfortunate but sometimes unavoidable gap in communication, and it’s proven to be a highly effective strategy for financial institutions with distressed accounts.
Why Traditional Collections May Be Falling Short
While remote collection efforts are effective for healthy accounts, these methods come with significant limitations, such as:
- Communication can be ignored
- Collateral location and condition cannot be verified
- Reputational and compliance risk from escalation
In partnership with clients, ACS has learned that in-person outreach like Door Knocks can be the missing link when you’re trying to re-engage borrowers and expedite loan resolution.
The ACS Door Knock Solution: A Personalized Approach to Loan Recovery
When you need a new strategy for loan recovery, ACS’s Door Knocks deliver a highly effective, compliant, and borrower-friendly approach to getting customers current.
By sending a qualified representative to the location of the distressed account, ACS reminds the account of their obligations through the delivery of lender messages with the added benefit of sometimes being able to ascertain the location and condition of the collateral.
This approach prioritizes professional communication, borrower engagement, and asset verification to drive results without damaging a lender’s reputation. Some of the key benefits of the Door Knock strategy include:
- Increased borrower response rates
- Speed and flexibility
- Brand reputational protection
- Collateral assessment capability
Case Study: How ACS Helped a Leading Bank Resolve Distressed Loans with an 84% Success Rate
When a major U.S. bank faced a surge in defaults, and its existing collections framework failed to deliver results, they recognized the need for an immediate solution. Yet strict internal policies on new vendors restricted their options, leaving them with unresponsive borrowers and mounting financial losses.
The bank’s Executive Vice President turned to ACS’ Andrew Pace to explore alternative solutions. Working together, they formed a customized Door Knock program to provide branded, in-person, outreach, asset verification, and compliance-friendly messaging to borrowers.
In 2024 alone, the initiative delivered exceptional results:
- Total Assets Placed: 1,200+
- Assets Successfully Resolved: 59%
- Assets Referred for Recovery: 41%
- Assets Successfully Resolved in Recovery: 68%
- Overall Success Rate: 84%
These results highlight how in-person engagement outperforms traditional collection methods, leading to faster resolutions and stronger borrower compliance.
Key Indicators Your Institution Needs ACS Door Knocks
When borrowers stop responding and payments lapse, it’s time for a new strategy. Some telltale signs your financial institution needs the Door Knock strategy of ACS now are:
- Rising delinquency rates
- Stalled collection efforts
- Reduced or absent lender communication
- Uncertainty about asset location and condition
- Concerns about recovery strategy that protects brand reputation
These issues and more can be resolved by ACS Door Knocks, a field-tested way to increase payment activity, resume normal communication, and protect assets, all while maintaining strong borrower relationships and legal compliance.
To learn more about how ACS can transform your institution’s loan recovery strategy, contact ACS today to build a custom loan recovery solution that protects your portfolio and drives results.