Oracle’s new cloud-based banking solution targets default debtors
Oracle has launched its cloud-based Oracle Banking Collections tool – offering lenders a look at debtors’ total financial pictures and features.
The firm says each year financial institutions (FIs) “waste millions of dollars attempting to solve their debt collection problem with the age-old tactic of throwing third party debt collection agents who may use decades-old technology riddled with inaccurate borrower data, at the problem”.
The company says Oracle Banking Collections helps FIs and their collections agencies improve collections on delinquent accounts by offering three capabilities:
- Insights into a borrower’s “entire” relationship with the FI, enabling collections agents to know more about who they are communicating with.
- Single system of record for all collections activity, helping to support compliance with “strict” collections regulations including those set by the Consumer Financial Protection Bureau.
- Self-help features that enable the consumer to “proactively determine a remediation plan for their account and avoid the collections process altogether”.
Chet Kamat, SVP banking products for Oracle Financial Services, says the US Federal Reserve reported that as of 31 March 2016, total household debt in North America alone was $12.25 trillion.