2023-05-20 Respect in financial services

 Financial services are blended with emotions. As it involves money, that people saved during their life by postponing their spendings, working extra hours or staying in work they did not like....they had to try harder to get those savings. It is not a surprise, on the other hand, if such finances are not managed professionally, respectfully or with reasonable understanding by the customer...problems can arise.

Respecting the consumer is even more important in case of debt collection. It is already a position, where the consumer is pushed, added pressure is evident and many of them remember this unpaid balance. 

Financial engineering

Financial engineering, not as a process of portoflio diversification, not as a self reflection on underwriting process by lender and not as a process of fabricating the value.

Financial engineering as a process of looking on portfolio in delinquency, especially close and poet charged-off. Many of the financial products are underwritten years before the become deliquent. This is why it is almost impossible to predict all the new trends in fraud, in ability of skip the colleralizaion, regulator moves and quality of models and data obtained.

My vision is to look on loan portoflios once they decline, charged-off. And get deeper in the logic how was the loan underwritten and what did change. What data and logic might be found to bring the consumer to current payment status. Deep knowledge and understanding, research and experience is critical. So the conculusions are not shallow, without value or with limited value