From mortgages to education financing, loan servicing companies tend to deal with bills all day, every day. However, it’s easy for billing statements to get lost or mixed up or for billing to fall behind altogether. Additionally, some loan servicing companies simply don’t have the capability to help customers with other tasks, such as online billing services and electronic invoice archiving.
However, there are ways that loan companies can play catch-up with their billing and expand their services: they can outsource some or all of their billing to another company. Outsourced billing services can free up time for loan servicers to focus on tasks such as account setup, customer retention, and other important responsibilities.
Why outsource billing to another company? Here are three reasons why these services are so crucial for loan processors and other types of companies:
- Faster Billing: Outsourcing billing can speed up accounts receivable by as much as one to three days at least. This is convenient for businesses because they need to keep their cash flow moving. It’s also a plus for customers, who don’t want to see any delays in their checking account withdrawals when they send in their payments.
- Better Statement Printing: Many customers struggle to read their bills, especially those that are long and detailed. This often leads to irate phone calls or late payments, which may reduce customer retention in the future for some services. Loan companies in particular can keep their long-term clients happy by creating easy to read and understand bills with the help of an outsourcing service.
- Improved Online Services: On their own, many loan servicing companies may not be able to provide online billing. It could be that it’s too expensive or too technical to manage on their own. An outsourced billing company, however, can provide online billing capabilities, which are simple for businesses to manage and for customers to use. In fact, 25% of customers report feeling better about their relationship with their biller once they were able to use online billing services, showing that this is an essential for all businesses that deal with statement processing these days.
Have you considered switching to an outsourcing service for your loan company’s billing? Ask your questions in the comments section or get in touch with a billing outsource service today.