WYOMING, Minn.–CU Recovery and The Loan Service Center, which said it has been steadily growing over the past eight years, including double-digit growth in the past two, reported it has seen a 23% increase in revenue since acquisition by PSCU in late February 2018.
That includes working with more than 100,000 collection files from credit unions around the nation, it added.
According to the company, CUR/TLSC staff increased by 25% in 2018, along with additional investments in training, technology and compliance monitoring.
“The expansion is in response to the added demand for services with current growth in the economy, within credit unions and the sheer volume of delinquent loans,” the company said. “The significant increase in delinquent files being processed and need for additional staff has been impacted by the automotive industry, where more than seven-million Americans were 90 or more days behind on their car loans at the end of last year, one-million more than eight years ago, according to the Federal Reserve Bank of New York.”
View on Delinquencies
CU Recovery said while collection forecasters indicate that delinquency levels are rising, the company believes the levels will settle at or near the “normal” level by year’s end. CU Recovery added it recognizes that while the delinquency ratios may stay the same, the actual number of loans and delinquency files will have grown significantly, taxing collection departments.
“Our expansion is aligned with the growth in the economy and in our credit union clients,” Wendy Elieff, SVP-sales and service said. “So, what is coming next? That can only be a prediction, but we feel confident that we have the staff, facility and expertise to handle credit union delinquencies at any stage.”