VOR
You are correct - credit unions make use of law agents far too quickly in the main because they have exceptionally poor competencies in collecting loan arrears. And keep in mind the stats you are seeing in the press relate to loans that went bad before the crash. Four years ago, during the boom, credit unions reported loan delinquency rates that were at the time shocking - seven out of ten were experiencing loan arrears in excess of the outer limits of prudent loan portfolio performance -this was at a time when one would have expected to see the opposite. The response was to take a tough line which meant outsourcing collection to law agents which in turn fed through into court activity and rising judgements etc.
You are correct - credit unions make use of law agents far too quickly in the main because they have exceptionally poor competencies in collecting loan arrears. And keep in mind the stats you are seeing in the press relate to loans that went bad before the crash. Four years ago, during the boom, credit unions reported loan delinquency rates that were at the time shocking - seven out of ten were experiencing loan arrears in excess of the outer limits of prudent loan portfolio performance -this was at a time when one would have expected to see the opposite. The response was to take a tough line which meant outsourcing collection to law agents which in turn fed through into court activity and rising judgements etc.