Working as partners with Creditors Bankruptcy Service, Auto lenders
- Increase recovery of deficiency balances
- Reduce operating expenses
- Reduce “turnovers”
- Mitigate losses
Bankruptcy Recovery – Deficiency Balances
The auto lender’s primary focus with bankrupt accounts is directed toward those debtors who still possess their vehicles. Outsourcing deficiency balance accounts to CBS ensures maximum recovery on them as well. CBS has been servicing such accounts for over 20 years.
When you learn of a new bankruptcy filing, the account record is coded according to your procedures. All Chapter 13 and Chapter 7 Asset cases with deficiency balances are forwarded to CBS, which prepares the proper documents and files the claims with the appropriate court or trustee. After filing claims, CBS monitors the cases until conclusion.
Dismissed cases, which represent almost half of all Chapter 13s, are returned to you at no additional cost so that collection activity may be resumed.
CBS provides a daily bankruptcy notification service. We monitor your entire portfolio and furnish a daily report of those accounts involved in a new bankruptcy filing. With this prompt notification, expensive collection efforts are stopped, preventing possible violations of the automatic stay. The obvious benefits are the elimination of unnecessary payroll, skip tracing, telephone, mailing, and “turnover” expenses. These benefits reduce costs and increase productivity. Recovery efforts begin much earlier to minimize the impact of declining value of the collateral.