1. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comTHE MODERN COLLECTION CALL Steve Hodgdon Modern Asset Management Steve@ModernAssetManagement.co m 415-596-2415

2. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWhy Listen to This Webinar Become happier and more effective in your communications with customers and in every day life. 2. Learn tools for successful collections and keep customers happy at the same time 1.3. Take some stress out of your job 4. Collect more $$ 3. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWhy Listen at all? To learn To connect and relate to another Because we have 2 ears and only 1 mouth To get what we want Because reading a joke is never as funny as hearing one 4. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comThe Modern Collection Call 5. The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com12/13/2013What kind of Collector are You? Old SchoolNew School 6. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comRequired Compliance Statement Your company requires all team members to obey all laws and regulations. Fair Debt Collection Practices Act Telephone Consumer Protection Act Truth in Lending Act State collection, privacy and deceptive practices laws And 100 others If you think youre breaking the law you probablyare! 7. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comAttributes of a Good Collector Brave, unafraid ofconflict Wants to WIN Great communicator Hard working Strong sense of right and wrong Great detective Good attention todetail Genuinely likes people Knows a lie when she hears it No nonsense Takes themselves seriously Privacy is important.We dont want to create gossip, harm or open ourselves 8. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comStep One Make sure you are talking to the customer Hello? Mary? Yes? Mary Smith? Yes? Verify information to confirm and update.Things change! Set the tone friendly and professional . 9. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comHello Ms. Smith. My name is Chuck Stevens from ABC Financial calling on a recorded line. I am calling about your past due loan.Before I go on, can you please verify that your address is 123 Main St? Yes, good. Thank you. Your work phone number is 555-555-1212? Yes? Thank you. Your social security number ends in 1234? Yes, Thank you. 10. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comStep Two Identify yourself AGAIN and restate purpose of call Continue building your professional tone Refer to customer by Mr. or Ms. to show respect We are not friends, this is business Ms. Smith, my name is Chuck Stevens from ABCFinancial and this is a collection call about your account with (mini miranda) No how are you?, isnt it a beautiful day Stick to business here. You will warm up later. 11. The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com12/13/2013Step Three Demand Payment In Full Ms. Smith, the balance due to $352.50. Its beenoverdue since October 1st. Are you ready to pay this today? Be urgent in tone. Make a firm demand. Dontoffer anything else yet.Then 12. The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com12/13/2013Step Four Psychological Pause DONT SAY AN YTH IN G UNTIL THE CUSTOMER TALKS.Be Patient10 13. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com9 14. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com8 15. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com7 16. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com6 17. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com5 18. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com4 19. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com3 20. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com2 21. The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com12/13/201311/2 22. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com1 23. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com0 24. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comUncomfortable? 10 seconds is FOREVER! Dont worry. It hardly ever lasts thatlong! Gives the customer a chance to catch up toyou Time to get his story straight Time to think of a stall that youll 25. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comStep Five LISTEN! Identify objections Closed and open ended questions areyour tools, not threats or abuse. Probe for agreement that the Customeraccepts responsibility, even if he cant pay today. 26. 12/13/2013Now The Secret Sauce! Changes the game. Changes your view Takes the customer off defense Opens the door to solutions Makes your job easier 80% effectiveThe Modern Collection Call - All Rights Reserved steve@modernassetmanagement.com 27. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWHAT HAPPENED? WHAT HAPPENED? THIS IS THE CRITICAL QUESTION. ALLOW THE CUSTOMER TO TELL YOU WHAT UNFORESEEN PROBLEM, WHATEVER REASON THEY HAD TO NOT PAY.TRULY HEAR THEM, WHETHER YOU BELIEVE THE EXCUSE OR NOT, WHETHER ITS VALID TO YOU OR JUST A STALL. OH, SO YOU DIDNT PAY BECAUSE THE CAR BROKE DOWN AND YOU COULDNT GET TO WORK. IS THE CAR FIXED? (OR WHATEVER THE REASON FOR NOT PAYING WAS). IF THEY TELL YOU WHAT HAPPENED, THEN THEYRE HALF WAY TO PAYING. 28. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comCAN YOU REALLY CONNECT? Take a moment to let them know you actuallyheard them. Oh, that must be difficult Thats a lot to shoulder all at once It sounds like it was temporary, thats good This one action separates you from all the other collectors/landlords/utilities that they owe money. We ALL owe somebody something. Dont judge. Relate to the customer as a person and its likely they will do the same. Then you can 29. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comGoing from Us versus Them to WE Did we help you by lending you this money? Whatdid you use it for? (overcomes the objection that the loan wasnt of value to them) Would you have paid this back on time if you could have? (who would say no?) Are you still working at XXX? (Closed end question shows that youre serious) Do you think of yourself as an honest person? (A challenge for them to state their values) 30. 12/13/2013Step Six The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comProblem solve and Find a WIN/WIN solution You promised to pay this when youborrowed the money/went to the hospital Do you remember that? Do you have a solution? How do you want to fix this? Can we deposit your payment today? No? When will your check clear? How can we keep you in good standing with client? Why isnt this important to you? 31. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comStep Seven Always Be Closing. Get Buy in. Dont give up! Ask at least 3 times in the call for what you want. No to payment in full today? No to payment today? No to payment plan? Back to the beginning. We must have missedsomething! 32. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comSuggested Responses The cat, dog, uncle died. Oh, that must have been hard. But, I dont understand how that connects to your agreement to pay this back? Straight Refusal No? You wont pay? Now hang on a minute! Didnt you say (repeat back when they accepted responsibility) No Money That must be tough. You understood the terms when you borrowed the money, right? I want to help you avoid more interest. What CAN you do? Next payday What happened to this paycheck? Why will it be different in 2 weeks? How about an ACH for $xx.xx today and we will (offer incentive). 33. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWhen the answer is still NO Then its reasonable to be firm and direct. Mr.Harris, you signed a contract, you agreed that you owe this money, You said you want to do the right thing and be responsible and honest. We need to come to agreement that satisfies us both. We will use all the legal means at our disposal to recover the money Client lent you. Lets work together rather than be enemies. Its just going to go away. Your company employs tools to recover bad accounts. These may include small claims, collection attorneys, or selling accounts. What can you HONESTLY say? Sometimes mystery is best. I dont know how 34. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWhat works for you? You are a professional bill collector. You know what life issues your customers have. What works? How quickly do you know theres no hope? How do you keep good will and still generate revenue? Share ideas at -- questions@modernassetmanagement.com Oh, how to tell if you might be breaking a law? The Giggle Test 35. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comGetting on the Same Page When you have an agreement; partial payments orPIF, ask the customer to repeat back the agreement. I want to make sure my notes are accurate Its important to hear the customer say AGAIN whattheyre agreeing to. Most people are honest and want to do the right thing. Our job is to reinforce that theyre doing the right thing. Restate the terms back to them. Great, Mrs. Smith! You have been very nice to work with. If its OK, well just send a reminder message/text/letter just before your next payment. You have my direct number is ANYTHING comes up. Im here to help. 36. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comCompany specific policies Specific training to your policies is inserted here.Examples: ACH only Special settlement offers Debt Settlement Payments on company website Client special handling Minimum payment terms 37. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comStep Eight Document the call If its not in the notes, it didnthappen Protect you, the company,yourself, and the customer. Take accurate notes that the next person will understand. 38. 12/13/2013The Modern Collection Call - All Rights Reserved steve@modernassetmanagement.comWrap Up Did you learn anything? Try it! You might like it! Dont forget all the rules. Youre a professional. You knowwhere the line is. Be a problem solver Enjoy your work. Contact Steve@ModernAssetManagement.com