Implementation Plan Your Keys to Success

Transcription

1 Implementation Plan Your Keys to Success

2 TO REACH YOUR PARTNER RELATIONS TEAM or call

3 Thank you for partnering with GreenPath! Our goal is to make the implementation process as successful and seamless as possible. This implementation plan will provide you with strategies to help you get the most out of your partnership with GreenPath. These guidelines are based on proven best practices that have reduced loan losses and increased customer loyalty at other banks. The document contains general guidelines as well as more specific content for each department at your bank. We value our partnership and want to ensure that it produces the results your bank desires. By implementing these guidelines in your processes, your bank can benefit from: 1. Decreased loan losses, delinquencies and potential threats to your loan portfolio 2. Fewer customers falling victim to payday loan, debt settlement, credit repair or mortgage modification scams 3. Increased sales of products and services to customers who become lower credit risks after working with GreenPath 4. Higher customer loyalty by demonstrating a commitment to the customer s financial well-being Table of Contents: GreenPath Tools for Success: Partner Relations... 2 Reporting... 2 First Steps... 3 Implementation Guidelines by Department: Customer Services/Tellers... 4 Lending... 6 Collections/Loss Prevention... 9 Marketing Training... 12

4 GREENPATH TOOLS FOR SUCCESS Partner Relations Your Partner Relations Specialist s job is to help your bank make the most of the GreenPath partnership. We are here to ensure that the GreenPath program delivers the results you are seeking. However, success can only be achieved if we work together to implement these guidelines, embedding GreenPath into the culture of your bank and into each employee s daily routine. You can help drive success by making GreenPath part of your bank processes. 1. Share Your Goals Sharing your goals will enable your Specialist to give you targeted feedback on how to achieve those goals, and to hold each team accountable for achieving their goals. Reporting Your Partner Relations Specialist will provide you with valuable data to help you gauge the success of the program and pinpoint areas where further training or usage by staff may be needed. Periodic reviews and usage reports will include: 1. Call volume 2. Customer Survey results 3. Topics discussed with customers 4. Debt management plan data We will work with you to strategically use the data to continually grow and improve the results of the program. 2. Reach Out Your Partner Relations Specialist will provide data and customer feedback regularly to help gauge the success of the program. Please feel free to reach out at any time to request this information or with any questions, concerns, or ideas that you have for the partnership. 3. Keep the Excitement Alive Your support of the program is critical. Ask your staff, Have you referred anyone to GreenPath lately? Share success stories with your teams. Positive reinforcement goes a long way in shaping the success of the program. 4. Schedule Ongoing Refresher Training for Staff It s important to keep your staff up to date with training and marketing tools. Schedule refresher training for your staff at least annually. 2 GreenPath Implementation Plan - Your Keys to Success

5 FIRST STEPS 1. Designate an Owner of the GreenPath Partnership Identify one (or two) individual(s) at your bank to be the main contact and champion of the GreenPath program. They will serve as the point person for interacting with your GreenPath Partner Relations Specialist. They will also coordinate with each department to ensure that customers are being actively referred to GreenPath as appropriate. Remember, the way to maximize value to your bank is to actively refer customers and let them know about the program. 2. Show Support From the Top Support from management and supervisors is critical to the partnership s success. If employees know that the bank leadership is fully behind the GreenPath partnership, they will be more likely to refer customers and proactively promote counseling and education. Support can be shown by: Announcing the start of the partnership through internal communications Requiring all staff to attend a GreenPath training session Sharing updates and customer stories at monthly staff meetings Setting goals in each department for referring customers 3. Prioritize Training for All Staff Staff must have a solid understanding of GreenPath s counseling and education services. Otherwise, they will not make customers aware of services that could benefit them and your bank. Schedule training for all staff within one month of partnering with GreenPath. Your Partner Relations Specialist and/or local GreenPath office will work with you to make this happen. We also highly recommend that you schedule refresher training on an annual basis. Refresher training enables us to remind staff about the program and share details of how it assisted customers in the previous year. 4. Ask Staff to Experience a GreenPath Counseling Session Encourage employees to go through a counseling assessment. Staff who experience GreenPath counseling for themselves are more comfortable and confident in the service. They readily provide testimonials to customers, which helps overcome any apprehension the customer may have about contacting GreenPath. GreenPath Implementation Plan - Your Keys to Success 3

6 Customer Service Department/Tellers Employees in Customer Service often wear many hats and have a variety of responsibilities. There are several ways to ensure that they are reaching all customers who can benefit from GreenPath s services. 1. Set Goals Create specific goals for your group to measure promotion of the GreenPath program. For example: Verbally refer every customer with NSF activity to GreenPath. Make at least one referral to GreenPath each day. Follow-up with at least one referred customer per week to ask about their experience with GreenPath. 2. Provide Appropriate Word Tracks Help employees identify customers who can benefit from GreenPath s services. Department staff often talk to customers who disclose that they are struggling with credit cards, late on bills, dealing with payday loans, had a reduction in income, etc. They will also encounter customers who consistently overdraw their account. All of these customers should be referred to GreenPath, because they could benefit from our assistance. Financial Difficulty We partner with GreenPath. They re a reputable non-profit agency that can help you explore options for improving your financial situation. You can talk to someone for free. They really are there to help you. Credit Card We partner with GreenPath. They re a reputable, non-profit agency that may be able to help you reduce the interest and fees you re paying. You can talk to someone for free. Payday Loan We partner with GreenPath. They re a reputable non-profit agency that may be able to help you reduce the interest and fees you re paying. They ll also try to help you figure out how to reach your goals without payday loans. You can talk to someone for free. 4 GreenPath Implementation Plan - Your Keys to Success Overdraft Work Track: I see that you ve had some overdraft fees. We partner with GreenPath, a non-profit agency that may be able to help you avoid overdraft problems in the future by developing a personalized spending plan. They have helped a lot of our customers. And you can talk to someone for free. 3. Refer People Who Are Denied Checking Accounts If you deny a request for a checking account, consider letting them open the account with a requirement that they first conduct a financial counseling session with GreenPath and complete the online CheckRight course. Word Tracks: We partner with GreenPath. They re a reputable non-profit agency that can help you develop a plan to improve your credit. Let s get you set up today with a savings account. Then you can talk to GreenPath and start working on a plan for opening a checking account. After you become a customer, we want you to talk to GreenPath. They re a reputable non-profit agency that can help you understand how to improve your credit over time. Would it be OK if we call GreenPath and get you scheduled for a free appointment? 4. Refer Customers Who Want to Begin Investing Refer customers who would like to begin investing for the long-term, but need to pay off debt first or don t know if they can afford to invest.

7 financial situation. If you conduct a free appointment with GreenPath and show us a copy of the action plan they give you, we can get one of the fees reversed for you. 5. Refer Customers Withdrawing Money From Retirement Accounts Early Customers withdrawing retirement funds early are often desperate to pay down other debts. GreenPath can help analyze their financial situation and explore options for achieving their goals without pulling funds out of retirement. I strongly recommend that you contact GreenPath before withdrawing funds from your retirement account. They re a reputable non-profit agency that has helped lots of other customers improve their financial situation. GreenPath can help you explore other options and possibly help you find a better solution to avoid penalty fees. There is no cost or obligation. Would it be OK for us to call GreenPath and get an appointment scheduled? 6. Incentivize Customers Providing customers with a carrot can be a powerful tool to help increase the likelihood of them seeking financial assistance. For example, if a customer is asking for a fee to be waived, consider granting their request, if they contact GreenPath. You could require that they bring back their Budget and Action Plan as confirmation that they conducted a session. I can only waive a fee if you are willing to talk to GreenPath. They re a reputable non-profit agency that has helped lots of other customers improve their REFER CUSTOMERS WHO: Express concerns about income (lost a job, reduced hours at work, forced to get second job) Mention payday loans, credit card balances/ interest, late bills, bankruptcy, etc. Overdraw their account Are denied bank products or services CUSTOMER SERVICE CHECKLIST Require and schedule GreenPath training for each Customer Service Representative/Teller. Require each CSR to experience a GreenPath counseling/budgeting session. Designate an owner for ordering and distributing/ displaying GreenPath brochures and teller cards in branches for all staff to utilize. All materials are free of charge. Update processes for staff to make GreenPath referrals part of the: Checking account approval process (those with history of NSF or CHEXsystems) Process when customers are unable to qualify for bank products or services Include a GreenPath brochure with all new customer packets. Path to Success = Ensure that customers and staff have access to GreenPath brochures and teller cards. GreenPath Implementation Plan - Your Keys to Success 5

8 Lending Department GreenPath can help customers put themselves in a better position to qualify for a loan, or help customers get back on track, if their loan application has been denied. Below are guidelines for Mortgage Lending and Consumer Lending. MORTGAGE LENDING 1. Refer Customers Purchasing A Home GreenPath is HUD-approved and a leading provider of homebuyer counseling. We recommend that the bank strongly encourage all first-time homebuyers to complete a free pre-purchase housing counseling session with GreenPath. We ll help buyers understand the home-buying process, plan for expenses (the expected and unexpected), and develop a budget to help ensure that all the bills get paid on time. We strongly recommend that you contact GreenPath. They re a reputable non-profit agency that has helped a lot of customers prepare for homeownership. They ll go over the home buying process, help you plan for all the related expenses, and help you come up with a spending plan to make sure you don t have financial difficulties. 2. Refer Customers Denied a Home Loan or Approved For a Lower Amount If a customer is denied a mortgage application, or is approved for an amount that is less than they wanted, refer them to GreenPath. In these situations, a referral to GreenPath can help soften the interaction with your customer. It turns a negative conversation into a positive, and gives the customer a next step to take on their path to homeownership. I suggest that you contact GreenPath. They re a reputable non-profit agency that has helped a lot of our customers improve their financial situation. They offer free credit report reviews and will help you understand how to improve your credit. They ll also help you develop a plan for purchasing a home. Would it be OK if I call you in about 3 months to see how you are doing? We would love to get a mortgage done for you here at the bank. 3. Refer Customers Taking Out Home Equity Loans to Pay Off Other Debt Home equity loans can be very tempting to customers searching for a way to pay down debt. Unless they change their spending, saving, or budgeting behavior, people who use home equity loans to pay off other debt will likely face the same financial predicament in the future. If a customer inquires about a home equity loan to pay down other debt, refer them to GreenPath. GreenPath can provide customers the education necessary to prevent future problems. I suggest that you contact GreenPath. They re a reputable non-profit agency that can help you explore all your options for paying down your debt and staying debt-free. They ve helped a lot of our customers. And it s free of charge. 6 GreenPath Implementation Plan - Your Keys to Success

9 4. Incentivize Customers Providing customers with a carrot can be a powerful tool to help increase the likelihood of them seeking financial assistance. For example, if you consider a customer to be a higher loan risk, consider requiring them to contact GreenPath. You could require that they bring back their Budget and Action Plan as confirmation that they conducted a session. We d like to be able to do this loan for you, but will need you to speak with GreenPath. They re a reputable non-profit agency that has helped lots of other customers improve their financial situation. If you conduct a free appointment with GreenPath and show us a copy of the action plan they give you, it may help with the loan approval process. MORTGAGE LENDING CHECKLIST Require and schedule GreenPath training for each mortgage lender. Designate an owner for ordering and distributing/ displaying GreenPath s brochures in branches for lenders to utilize. All materials are free of charge. Update processes for mortgage lenders to make GreenPath referrals part of the: Pre-purchase process Loan denial process Home equity loan process Require each Representative to experience a GreenPath counseling or budgeting session. REFER CUSTOMERS WHO ARE: Purchasing a home for the first time Denied a mortgage Approved for a mortgage amount that is less than they wanted Applying for a home equity loan to pay down other debt Counseling reduces the delinquency rate of first-time homebuyers by 29%. Source: Freddie Mac GreenPath Implementation Plan - Your Keys to Success 7

10 CONSUMER LENDING 1. Refer Customers Denied Credit If a customer is denied credit, or is approved for an amount that is less than they wanted, refer them to GreenPath. In these situations, a referral to GreenPath can help soften the interaction with your customer. It turns a negative conversation into a positive, and gives the customer a positive next step. If the customer is willing to work with GreenPath, our counselors may be able to help them improve their finances to qualify for a loan at your bank. We don t want them going to another financial institution or Quick Cash store in search of loan funds. We partner with GreenPath. They re a reputable non-profit agency that has helped a lot of our customers improve their financial situation. They offer free credit report reviews and will help you understand how to improve your credit. They ll also help you explore the loan options that are best for you. Would it be OK if we call GreenPath now to get an appointment scheduled? 2. Refer Customers Interested in Credit Improvement Refer customers who express a desire to improve their credit score or learn more about their credit report. GreenPath will review their credit report with them in detail, covering the basics of how a credit score is calculated and providing specific suggestions on how the customer can improve their credit score. I suggest that you contact GreenPath. They re a reputable non-profit agency that has helped a lot of our customers improve their financial situation. They offer free credit report reviews and will help you understand how to improve your credit. 3. Incentivize Customers Providing customers with a carrot can be a powerful tool to help increase the likelihood of them seeking financial assistance. For example, if you consider a customer to be higher loan risk, consider requiring them to contact GreenPath. You could require that they bring back their Budget and Action Plan as confirmation that they conducted a session. We d like to be able to do this loan for you, but will need you to speak with GreenPath. They re a reputable non-profit agency that has helped lots of other customers improve their financial situation. If you conduct a free appointment with GreenPath and show us a copy of the action plan they give you, we ll have more information to evaluate your application. REFER CUSTOMERS WHO ARE: Denied credit Interested in improving their credit score CONSUMER LENDING CHECKLIST Require and schedule GreenPath training for each consumer lender. Designate an owner for ordering and distributing/ displaying GreenPath s brochures in branches for lenders to utilize. All materials are free of charge. Update processes for consumer lenders to make GreenPath referrals part of the: Loan denial process Loan approval process for customers with thin credit files Credit building process Require each Representative to experience a GreenPath counseling/budgeting session. A GreenPath Debt Management Plan may be a viable option for customers denied for a debt consolidation loan. 8 GreenPath Implementation Plan - Your Keys to Success

11 Collections/Loss Prevention Department Contacts from the collections/loss prevention area can be the most impactful. Customers who are delinquent are often looking for assistance, but aren t aware that a resource like GreenPath exists. It s important to embed referrals to GreenPath into the earliest stages of the recovery process. The sooner a customer talks to a GreenPath counselor, the more options will be available to them. GreenPath s loss mitigation service can have a significant impact on loan delinquencies. 1. Obtain Collector Buy-In Make sure each collector has gone through GreenPath training and been given an opportunity to ask questions and/or voice concerns about our services. Some collectors initially perceive GreenPath as a competing force that could divert funds away to other creditors. It s critical that your collectors understand that GreenPath is here to assist them, not work against them. Our goal is to implement a holistic plan to help the customer with all of their debts. We, ultimately, want them to make steady monthly payments to your bank, avoid charge off, and maintain a positive relationship with your bank going forward. 2. Require Verbal Referrals Recovery staff should be expected to inform customers about GreenPath, briefly explain the services, and encourage them to contact GreenPath. General I suggest that you contact GreenPath. They re a reputable non-profit agency that has helped a lot of our customers improve their financial situation. They ll help you explore your options, and may even be able to make payment arrangements with all of your creditors. You can talk to someone for free. Credit Card Debt We partner with GreenPath. They re a reputable non-profit agency that may be able to help you reduce the interest and fees you re paying on your credit cards. They will help you explore options and develop a plan for paying off all of your debt. You can talk to someone for free. 3. Call With the Customer (Warm Transfer) One of the hardest things for a customer to do is to make the call for help. Many people are ashamed to admit that they are experiencing financial difficulty, and others think the person who answers the phone will be judgmental. Volunteer to transfer the customer directly over to GreenPath to introduce the customer, explain the situation and schedule an appointment. Staff is welcome to stay on the line with those customers while they schedule their appointment, or even while they speak to a counselor. 4. Use GreenPath s Mortgage Delinquency Intervention Program Require a verbal referral to all customers who are delinquent on their mortgage or concerned that they may fall delinquent, whether the loan is with the bank or another lender. In a free housing delinquency session, GreenPath will explore options for resolving the customer s mortgage delinquency. We will discuss changes necessary to retain their home, review the workout and/or foreclosure process, and discuss workout options, such as traditional forbearance, re-aging, temporary indulgence, and permanent modifications. We partner with GreenPath. They re a reputable non-profit agency that has helped a lot of our customers improve their financial situation. They can help you explore your options for bringing your mortgage current, and develop a plan paying all of your bills. There is no cost for the counseling --- unlike the many scams out there that charge a large up front fee. I suggest that you contact GreenPath to see if they can help you out. GreenPath Implementation Plan - Your Keys to Success 9

12 5. Mail a GreenPath Insert With All Collection Notices Ensure that customers who receive a collection notice, in the mail or via , also receive a GreenPath insert, so they know about the service. Your Partner Relations Specialist or local GreenPath office can provide you with mail inserts, free of charge. 6. Set Goals Create specific goals for collectors to measure promotion of the GreenPath program. For example, have each collector: Contact GreenPath with a customer at least once per week. Follow up with a referred customer at least once per week to review their experience with GreenPath. 7. Incentivize Customers Requesting a Lower Payment Some banks require customers to conduct a counseling session with GreenPath before modifying a loan. Ask the customer to show you their Budget and Action Plan as proof of their counseling session. This requirement serves several purposes --- it educates the customer, enables the bank to understand the customer s full financial picture, and helps identify potential alternatives to the modification the customer is requesting. We d like to be able to modify this loan for you, but you will first need to speak with GreenPath. They re a reputable non-profit agency that has helped lots of other customers improve their financial situation. If you conduct a free appointment with GreenPath, and show us a copy of the action plan they give you, it will help with the modification process. COLLECTIONS CHECKLIST Require and schedule GreenPath training for each collections officer. Designate an owner for ordering and distributing GreenPath s brochures for collectors to utilize. All materials are free of charge. Update collections processes to make GreenPath referrals part of the: Standard collection phone call and voice message to customers Follow each phone referral with a GreenPath brochure Mortgage delinquency process Add GreenPath referral language as part of the standard collections letter to customers Give your collectors permission to warm transfer calls to GreenPath. Require each collector to experience a GreenPath counseling/budgeting session. REFER CUSTOMERS WHO ARE: Requesting a loan modification Late on a loan or credit card payment Current on payments, but concerned that they might fall behind In one year alone, GreenPath returned over $6 million dollars to our Partners. 10 GreenPath Implementation Plan - Your Keys to Success

13 Marketing Department Your Marketing Department will play a key role in the success of the GreenPath partnership. Customers don t typically notice resources for debt management or financial education until they actually need the services. It s very important to promote the program to customers through multiple channels on a regular basis. 1. Prominently Display GreenPath s Link On Your Website GreenPath has several web banners and logos for your use. When initially introducing the GreenPath partnership, place the banner or logo of your choice on the front page of your website. Include a brief introduction announcing the customer benefit. As a permanent location on your website, consider creating a Financial Education, Money Management, or Financial Resource Center to house the GreenPath information. 2. Inventory GreenPath Brochures and Teller Cards GreenPath s marketing tools are free of charge. Take advantage of them by prominently displaying brochures in your lobby and at your teller stations. Ensure that each branch and department has the appropriate marketing materials. Make sure staff members are trained on how to proactively provide the material to customers. (Otherwise they will sit in a box unused.) Designate one person for the bank, or one person in each department, to track inventory and order marketing tools from your Partner Relations Specialist. 3. Promote GreenPath Through Social Media Is your bank on Facebook, Twitter, or YouTube? If so, friend and like us! GreenPath actively posts relevant personal finance information. Your bank is encouraged to re-post and re-tweet this timely information with your customers. If you are seeking content for your own blog, Facebook page, or Twitter account, consider utilizing GreenPath s postings and newsletter articles. Search greenpathdebt on Facebook, Twitter and YouTube. 4. Use GreenPath s Newsletter Articles In Your Newsletter Take advantage of GreenPath s educational resources by including ready-to-publish educational content in your newsletter. Our articles can be cut and pasted directly into your newsletter. This is a great way to provide customer education, while also referencing GreenPath services. 5. Send GreenPath Inserts With Statements Or Other Notices Whether you are sending information by mail or , including GreenPath inserts will help make customers aware that you offer this valuable service. Set your bank apart by promoting GreenPath as a customer benefit through all of your marketing channels. GreenPath Implementation Plan - Your Keys to Success 11

14 Training Department Ongoing staff training is critical to the continued success of the GreenPath partnership. We have found that some employees lose touch with the services over time, and refresher training is extremely beneficial to program success. Your Partner Relations Specialist and/or local GreenPath office will work with you to provide training --- either on-site or via webinar/video. We also have educational videos that can be used throughout the year, to keep GreenPath and financial education top of mind for your staff. Whether or not you have a dedicated training department, we can work with you to provide effective training in the format that fits your needs. 1. Schedule initial training for all staff, within one month of program inception. 2. Schedule refresher training at least annually. 3. Ensure that new employees receive training and marketing tools during their new employee instruction. 4. Share customer stories, articles, and/or educational videos at staff meetings, online, or via company , throughout the year. Make GreenPath webinars and recorded training sessions readily available for all staff. Your local Intranet is a great place to house these items. 12 GreenPath Implementation Plan - Your Keys to Success

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