Debt collection via WhatsApp: FinTech company wants to get defaulting debtors on their feet via smartphone

Created: 02/24/2022, 05:36

By: Michelle Brey

A collection agent relies on previously unusual measures to establish contact.

© Sascha Steinach/imago

A debt collection company uses unusual methods to contact consumers who have outstanding debts.

This is where WhatsApp comes into play.

Munich - Non-paying customers are a thorn in the side of companies.

If reminders do not lead to payment, the collection notice finally flutters into the mailbox.

A debt collection company from Berlin uses other measures when contacting defaulting consumers.

What seems quite unusual at first glance is probably appropriate for the digital age.

The basis is artificial intelligence.

Collection: Contact via WhatsApp?

"I believe that, especially in the digital sector, data and intelligent data control can be used to individualize people much better and that this means that communication channels can be found much better when addressing them and finding solutions," said Stephan Stricker, founder of Pair Finance, in the podcast by ntv "So techt Germany".

The service provider uses multiple data sources to categorize consumers who have an outstanding bill.

Debt collection via WhatsApp: the algorithm uses various data sources

Data Clients Share Through Consumer Pair Finance.

For example, the amount and age of the claim or socio-demographic data such as age, place of residence or gender.

"Various external data sources," as Stricker called it in the podcast.

This includes, for example: Google Maps.

For example, the place of residence allows conclusions to be drawn about the monthly salary, according to the FinTech founder.

SCHUFA provides further information.

Stricker described the so-called “behaviour-oriented data” as “the most exciting pool”.

This provides information about how consumers interact with debt collection companies.

"If he gets an email, does he open it for you?" Stricker gave a short example.

The background to this was the "construction of a self-learning algorithm" with which the data is evaluated, as the company wrote in a 2019 article on its website.

Data scientists work together with behavioral psychologists.

Collection agent contacts consumers via WhatsApp

There is no physical contact with consumers, Stricker explained in the ntv podcast.

His company works exclusively digitally.

The data just mentioned should be used to "speak to the consumer better psychologically and to sensitize them to the fact that there is an open demand".

You will receive payment reminders either by e-mail, WhatsApp or as an SMS.

FinTech company wants to “change debt collection”

With the Pair Finance model, you can see very fast response rates from consumers, according to Stricker.

On the one hand, this is due to the fact that accessibility, reaction and finding solutions have to be tracked in great detail and the company follows them very analytically.

On the other hand, there is an “individual payment page”.

"My vision is to change debt collection," Stricker said on the podcast.

He wanted to "break up this industry, which is so negatively affected, and make it more positive".

Certain clauses could throw a spanner in the works for him.

Debtors should exercise caution when dealing with debt collection companies.