Successful Customer Retention Strategies for Debt Consolidation Companies

Jenny Richards By Jenny Richards, 11th Mar 2015 | Follow this author | RSS Feed | Short URL
Posted in Wikinut>Money>Debt

Debt consolidation is a process by which refinancing can take place with a new loan for paying off several old loans.

Successful Customer Retention Strategies for Debt Consolidation Companies

Debt consolidation is a process by which refinancing can take place with a new loan for paying off several old loans. For resolving the debt issues, you can consolidate or settle your debts with the help of various debt settlement agencies.

Sometimes, the overall financial condition of the individuals can lead to insolvency, bankruptcy or some other financial emergencies. The debt consolidation process helps to combine all the debts into a single one with a lower interest rate. The process can also involve extension of the loan repayment period so that the debtors can get a sufficient amount of time.

Debt Consolidation Companies: These companies will provide you with a loan of lump sum amount so that you can pay off all your existing loans. When all your previous creditors are satisfied with the repayment, you will just owe to the debt consolidation company. You are actually owing the amount which is the sum total of all your previous debts. You are required to pay in monthly installments and the payment will take care of all your fees, principal, interest and loans.

Customer Retention Strategies: You are required to know some specific customer retention strategies. The debt consolidation firms can play the role of the third party and can negotiate with the creditors.

• Reducing the attrition rates can be the best strategy. Here the company can act as the arbitrator for searching various solutions.

• Customer preservation methods can be applied to all the satisfied clients who have availed the debt consolidation service previously.

• The debt relief customers will definitely support the companies who have supported them at their time of need.

• The client can again return to the company whose debt status has been repaired by the same company.

• It is a wiser decision for retaining the old customers instead of spending much on the customer acquisition.

• The creditors may try to find out the grievances of the debtors and can prepare for amendments to resolve the issues. This can be considered as one of the popular customer retention strategies.

• The customer complaints and the feedback can be collected and the issues can be resolved. The business practices can be modified by retaining existing clients and acquiring the new ones.

Focus on Customer’s Experience: In the modern competitive age, the customers are getting more demanding in nature as various options are available in the present market. Therefore a holistic experience is required by the companies for satisfying the customers. The company should take care of the knowledge sharing and smart communication process. Strategies like loyalty programs should be encouraged to retain the existing customers.

Personalization Process in Customer Retention: The companies may try to learn the likes and the dislikes of the customers for presenting a customized service from their side. The service can prove to be more fruitful if it can be more social, personal as well as motivational. The companies are required to know more about the habits of the customers so that they can provide proactive services to them.

Quality over Speed: Quality will surely gain a high score over the speed in case of customer retention strategies. The previous users will come again for the service if it was effective and helpful and not because it was faster.

Therefore, in times of the economic growth, it may be possible to drive huge number of new customers to your business. But during the lean period, the companies should retain their existing customers and can build strong bonds with them. Though all your old customers are not worth retaining, you can identify the prospective ones from your old debt management portfolio.


Consolidating Your Debt, Consolidation

Meet the author

author avatar Jenny Richards
I am a highly creative marketer who can always be trusted to come up with a new approach. I know that the client’s business comes first, and I never try to impose my ideas on others.

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author avatar David Wicks
30th Apr 2015 (#)

Many thanks for this article. After a long time I get such a thoughtful article on successful customer retention strategies for consolidation companies. Customer satisfaction is most important in debt consolidation so that debt consolidation companies must put their debt consolidation reviews in front of the customer. So that customer will get attracted to the agency or company and will show his /her interest in the company. Every customer wants or expecting quality result from the company so that company will follow the expectations of customers and try to give the results as per the customer convenient. Thumbs up for this post.

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author avatar Sujain THomas
4th May 2015 (#)

Customer retention strategies are most important for debt consolidation companies. The key feature of debt consolidation is that it combines all the debts into single debt with lower interest rates. So it is very useful for those who are in debts and to regain the financial condition debt consolidation is better option. I am satisfied with this article as it provides much knowledge about the process of debt consolidation and customer retention strategies. You should select the genuine debt consolidation company because many fake companies also exists. After reading this article I can say that the author has better knowledge about debt consolidation reviews. Thank you Jenny Richards for sharing such a great article.

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