The Power of Automation in Digital Collections

OnPath Credit Union’s use of AKUVO’s Virtual Collector highlights how automation can boost member engagement, improve efficiency, reduce costs, and deliver a strong return on investment in digital collections.

Only Costs $.01

per dollar collected.

Increased Recoveries

and promises kept.

Enhanced Efficiencies

and success for collectors.

More Accounts

worked per month.

Introduction

OnPath Credit Union, now merged with Louisiana Federal Credit Union, sought a digital collections solution to enhance its process while optimizing operational efficiency. The credit union needed a tool that would reduce manual efforts, allow members to self-serve, and ensure collectors could focus on engaging with members who genuinely needed assistance. After activating AKUVO’s Virtual Collector, OnPath saw significant improvements in a very short time.

Implementation & Key Benefits

Rachel Driver, Vice President of Collections, highlighted how Virtual Collector transformed their collections strategy by increasing member engagement and streamlining internal processes.

Increased Engagement Rates

Driver noted that both texting and email channels were performing very effectively, with excellent response rates. The ability for members to request callbacks and set up payment promises via Virtual Collector allowed for a smoother collections process. Additionally, Driver noted Virtual Collector provided visibility, in the form of dashboards, allowing her to action that data to adjust engagement strategies for optimal outreach effectiveness.

Increased Engagement Rates

A standout metric for Driver was the percentage of kept promises. Despite the concern that members might set payment promises without intent to follow through, the actual adherence rate exceeded 50%. She also appreciated the ability to utilize AKUVO’s playbooks to drive payment promise outreach, ensuring that follow-ups were aligned with business objectives while maintaining member convenience.

Cost-Effective Collections with High ROI

Driver emphasized the importance of measuring cost per dollar collected, stating, “That’s the top factor when reporting up to leadership. It provides an immediate ROI assessment.” By automating parts of the collections process, Virtual Collector significantly reduced costs compared to traditional methods. With an average cost of just $0.01 per dollar collected through Virtual Collector, OnPath was enthusiastic of this exceptionally cost-effective solution. She described the cost-effectiveness as a “no-brainer,” particularly given the ability to optimize collector time and resources.

Enhanced Efficiency for Collectors

One of Driver’s primary goals was to ensure collectors spent their time assisting members in genuine need rather than chasing low-value accounts. By configuring Virtual Collector to automate text & email outreach for early-stage delinquencies, the team was able to handle more volume (305 more member accounts in January and February alone) while simultaneously allowing collectors to spend more time on advising those who needed assistance.

Driver noted that these early-stage delinquent account holders responded very well to the self-curing options that Virtual Collector provides. Additionally, callback requests allowed collectors to connect with members at optimal times, improving right-party contact rates. Driver emphasized that automation ensured her team focused on productive conversations rather than manual payment processing. The cost-per-dollar efficiency also allowed OnPath to maximize returns while minimizing overhead.

Most Impactful Feature: Customizable Playbooks

When asked to name the most valuable aspect of the platform, Champagne didn’t hesitate: the flexibility of AKUVO’s playbooks.

“We can automate, adapt, and optimize quickly. Whether it’s a repossession workflow or an early-stage contact strategy, we can make adjustments without relying on IT or third parties. That control is a game changer.”

"Virtual Collector is allowing my team to prioritize meaningful conversations with members who need help, rather than spending time on routine follow-ups. The efficiencies we’ve gained are incredible. And at just $0.01 per dollar collected, the return on investment speaks for itself.”

Rachel Driver

VP of Collections

Looking Ahead

The success of Virtual Collector has led OnPath Credit Union to explore additional automation strategies, including a new campaign targeting broken promises. By continuing to refine their collections approach, OnPath aims to further reduce manual effort, increase recoveries, and enhance the overall member experience. Driver highlighted that the flexibility of Virtual Collector ensures that the system can evolve with OnPath’s changing needs.

Driver summarized the impact best: “Virtual Collector is allowing my team to prioritize meaningful conversations with members who need help, rather than spending time on routine follow-ups. The efficiencies we’ve gained are incredible. And at just $0.01 per dollar collected, the return on investment speaks for itself.”

Conclusion

OnPath Credit Union’s adoption of AKUVO’s Virtual Collector showcases the power of automation in digital collections. The credit union has not only improved member engagement but also significantly reduced costs, ensuring a more effective and sustainable collections strategy. As OnPath continues its evolution, Virtual Collector remains a key driver in enhancing operational efficiency and member satisfaction, all while delivering a strong return on investment.