Collector's Challenge Month in Full Swing at Many ARM Firms

ACA International is encouraging its members to participate in the organization’s “Collector’s Challenge” this month in a push to improve consumer financial literacy. Facilitated through the ACA International Education Foundation, the group’s philanthropic arm, the effort is aimed at improving the image of the debt collection industry.

According to the Foundation, many ACA members will hold fundraisers and collect small, personal donations for the right to enjoy casual dress, with others planning special company outings open to those making a donation. Creativity is encouraged and the campaign is intended as a fun, engaging activity that also generates awareness of the Foundation’s programs.

Money raised will be used to help the Foundation expand its work in financial education, such as providing free electronic Community Education Kits regarding consumer rights and money management basics and a free personal financial management Web course, which is offered free of charge. Other uses for the funds include the Foundation’s scholarship program for people in the collection industry and a training program for the disabled.

According to Jean Cottington, executive director of the Foundation, the collector’s challenge initiative started a couple of years ago as a result of a strategy laid out by ACA chairman Bill Wilcox.

“We wanted a way to educate consumers and help improve financial literacy,” Cottington said. “A lot of us can also brush up on [financial and customer service] tools during this difficult time.”

Rion Needs, president and CEO of debt purchaser Asset Acceptance Capital Corp., said that the economy gives the ARM industry an opportunity to help consumers. “During the current difficult financial environment it’s more important than ever that collectors see themselves providing solutions for debtors,” he said.

The lynchpin of this effort is providing better customer service, meaning “helping debtors find solutions, not haranguing them or beating them up,” Needs said.

With better financial education, one of the goals of the Collector’s Challenge, consumers can better handle their debt obligations, Needs added. So he sees it as an important effort for his company.