CU*BASE Collections: An Overview

One of the main goals of the CU*BASE Collections System is to replace the mountains of paperwork normally associated with collections efforts, as well as to provide the most up-to-date, complete data at all times. The inquiries that are available take the place of various reports that might get printed once a month and scribbled on throughout the month. Not only is a printed report likely to become outdated quickly, it does not show additional accounts which have developed problems since the last report was printed.

For credit union employees responsible for monitoring loan collections, the CU*BASE Collections system is the most important tool for use in day-to-day activities. Because the system shows the latest information every day, you as a collector can make the most valuable use of your time working the accounts that really need your attention.

Of course, printed reports are still needed for some purposes, and may be required for reporting to Boards or examiners. CU*BASE offers many different reports in various formats to meet your needs.

Daily Collections Processing

CU*BASE provides access to several different tools that help you work through your day-to-day collections tasks:

Work Collections
This feature lets you work with the following different types of “problem” accounts in a combined inquiry format, to streamline the process of contacting members who may have multiple accounts that require attention:

The list provides an up-to-date listing of accounts and tracks the last time the accounts were worked by a collector. Because the list is generated fresh every day, accounts will be added and removed from the list as transaction activity causes a change in the status of the account (such as when a delinquent loan is paid current or a negative balance share draft account is brought to a positive balance).

Outstanding Follow-Ups
Trackers are a way for credit union staff members to communicate member comments, issues and even appointments for themselves or other staff members. A Follow-up is a tracker conversation that has been flagged to automatically prompt an employee that an action is required regarding a particular member. Regular use of this system ensures that important tasks are not forgotten.

Classified Loans
This inquiry lists any loan accounts which have been manually flagged with a Loan Classification code. These codes are configured by the credit union and used to track problem loans and calculate amounts for loan loss reserves. An excellent tool for preparing for the annual audit, these codes are assigned by collections and/or loan officers as part of the periodic review of delinquency statistics. The inquiry also includes a summary showing the number of accounts, balances, and reserve amounts for all classified loans.

Using Collection Cards

A Collection Card is special type of Member Tracker record used to maintain a complete record of all collections efforts pertaining to the member. It can be updated on an ongoing basis, and can contain up to 9,999 individual conversation notes.

The CU*BASE Collection Card Tracker feature is designed to take the place of the traditional handwritten card or file on which notes are written each time contact is made or information is obtained about the member's delinquent accounts. Because Collection Cards are stored on the CU*BASE system, they are included in the normal daily backup as part of the credit union's disaster recovery plan.

One Collection Card Tracker record is created for a member (attached to the 000 base share account) at the time when collections efforts first begin. Thereafter, additional conversation notes are added to the tracker as additional contacts are made. Should legal action ever become necessary, the Collection Card acts as the credit union's accurate and complete documentation.

The DOs and DON'Ts of Filling in a Collection Card

Creating a Collection Card Tracker is the same as creating any other type of tracker, except that the Tracker Type code “XX” is used. After the XX Tracker record is created for the member, it is simply updated with new conversation notes over the life of the membership. Read more about Member Trackers.

Due to a default configuration in the Tracker Type configuration screen you will be alerted that you can copy a Collections Tracker conversation to the XX Tracker of a co-signer of a loan that is in collections. Leave the “Copy conversation to co-signer” box checked and select the loan in question and the conversation will be copied to all co-signers of the loan. Refer to the Tracker conversation entry topic for more information.

Integrating the Household Database Into Your Collections Efforts

The Collections officer has a particular need for the Household Database when it comes to recording vital financial and personal information about a member. Data such as employer name and address, wages, other debt, etc., that are obtained through contact with the member about a delinquent loan, should be recorded on the system for use by all credit union staff.

Rather than trying to squeeze that information onto a Collection Card, the Household Database provides a perfect place to record this data. Besides being available to collections staff, it will be ready for loan officers and other personnel the next time the member wants to open an account or apply for a loan.




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