Mortgage servicer Oakwood Global Finance LLP has claimed to have frequently achieved the collection of over 100% of payments due on non-performing loan portfolios over the past 12 months.
The portfolios were purchased by Engage Credit Limited, Oakwood’s affiliated regulated servicing platform, from major banks seeking to remove non-performing loans from their balance sheets. The portfolios will typically have had over 85% of the cases in arrears when they are acquired.
“Our success in delivering consistent results is due to our special servicing capability,” explained Richard Klemmer, partner at Oakwood. “In difficult times you need experienced servicers capable of assessing individual circumstances who are also able to handle sensitive situations.
“When the housing market was booming mortgage servicing resembled an automated assembly line. In times like these, customers require account handling at a personal level and distressed debt requires a more considered approach.
“Even on loans that appear irretrievable, it is possible to balance the needs of both the customer and the lender if you can offer creative solutions to customers’ problems. The approach needs to be different in every case and such decision-making only comes with professional experience.”
