Debt and Complaint Reduction

Our client approached us for our expertise in debt collection to reduce their high-balance debt book, which included customers with open complaints. Kura received 338 complaints, totalling an outstanding balance of over £1 million.

Our key objectives were to initiate dialogue, resolve complaints, and collect outstanding debts.

To address this challenge, we initially identified advisors based on their experience and ability to conduct empathetic and challenging conversations during the initial contact process.

We began by leveraging the expertise and insights gathered within the first 10-day period. This involved identifying any uncovered technical issues and ensuring they were promptly escalated through appropriate channels.

Our approach focused on deploying the most suitable personnel from our utilities teams to achieve the desired outcomes. We established clear repayment options such as extended instalment plans, direct debits, and bank transfers tailored to each customer’s needs. Throughout this process, our goal was to define success for our clients and the customers involved.

Additionally, we reviewed and refined client scripting to better support customers and implemented appropriate debt recovery strategies. This included ensuring full compliance with debt recovery regulations, including informing customers about the potential impact of outstanding balances on their accounts and credit ratings.

We approached our interactions with customers not solely focused on monetary recovery but with a priority on understanding their situations and implementing practical solutions. This approach facilitated more constructive discussions surrounding their high debt balances. Once mutual understanding was established and corrective actions were initiated, we assessed the legitimacy of the original debts. Any identified as non-genuine prompted a thorough investigation into the reasons, with potential adjustments made in compliance with Ofgem’s billing regulations, such as Billing Back Adjustments (BBA/BTA).

Moreover, where affordability concerns arose, we prioritised guiding customers towards available assistance. This included providing them with contact details for financial aid agencies to facilitate access to support services.

·  Debt Team A complaint value reduced from 338 to 170 over 8 weeks, achieving a 50% reduction.

·  The volume of debt outstanding reduced from £1,036,885 to £625,472 during this period, marking a 40% reduction.

·  23% of high-value debt complaints were attributable to account errors, successfully resolved to enhance customer satisfaction.

·  60% of debt balances requiring further action, such as EUKs and BBAs, were identified, guiding subsequent collection strategies.