Giving a customer/potential customer an offer that spells out key information, like a Firm Offer of Credit, is a great component for customer retention because it enhances the chance they will respond. Firm offers of credit provide that information to:
- Prescreened customers from your mortgage loan portfolio
- Prescreened other banking relationship customers
- Prospects who may have a mortgage with a competitor
Stringent guidelines for firm offers of credit are there because they protect you and your customers/potential customers. The Fair Credit Reporting Act of 1970 and the Federal Trade Commission oversees these protections and clarify responsibilities.
Firm offers of credit must include:
- Precise interest rates for offers that require interest payments
- Precise terms including the loan amount, the loan period as well as a description on how interest is calculated, defined payment periods and the minimum guaranteed credit
- There must be a guarantee that the offer will be intact as long as the customer meets income, asset, no bankruptcy qualifications and provides required collateral
- Always utilize the correct disclaimers and explanations on both the front and back of your offer letters because they protect you
The real key to making the offers successful is the research, analysis and screening that goes into creating the offer. You want the most qualified prospects because they can be matched with the right offer.
At Customer Retention Solutions we have decades of staff experience in performing these services. We use superior data from multiple partner sources so that we can find the right customer for the right offer.
Customer Retention Solutions uses a formula that uses as many data points as possible because we can:
- Find customers with a proven history of excellent credit
- Drill down to find out which offers these customers should receive
- We work with your marketing, legal and compliance departments to ensure accuracy
We can help manage your follow up programs.
To find out more call us at 1-269-324-7385 Option 1 or email us here.