Editorial Viewpoint Stepping Forward Spotlight On First Express Remittance Processing, Inc. Spotlight On GreenPath Debt Solutions COVER STORY New Initiatives Target Faster Payments, Settlement and... NEWS REPORT Marketing Programs Boost Consumer Adoption of... CASE STUDY Custom Accounts-Receivable Solution from First Express... BUSINESS TOOLS Sign Up for MasterCard RPPS Reporting Services... NEWS REPORT Online Biller/Creditor Directory Helps Customers... NEWS REPORT New Processing Service for Collection Agencies Expands MasterCard RPPS... INDUSTRY INSIGHTS Q&A with Catherine Graeber...		NEWS REPORT New Processing Service for Collection Agencies Expands MasterCard RPPS Reach Solution Streamlines Payment Processing and Reduces Paper MasterCard RPPS is happy to announce the availability of a new electronic payment service tailored to the needs of the collection industry. Mirroring the MasterCard RPPS credit counseling offering that has revolutionized that industry's payments environment, the new service offers customers speedy, accurate, automated delivery of payments and commissions while all but eliminating paper. "Last year, we were approached by Alliance Data Systems, a large concentrator in our network that already processes the majority of its debt management program payments through MasterCard RPPS," says Mike Kaufman, MasterCard RPPS. "This organization wanted to shift a majority of its collection agency volume to the electronic environment, realizing that it could speed the process and lower costs for both itself and the 21 agencies it supports." MasterCard RPPS responded with a new service that delivers immediate benefits to all customers. Faster, more accurate payments - at lower cost Prior to the introduction of the new service, the collection agencies working with Alliance Data were overnighting checks and documentation several times a month. The concentrator had to handle the paper and manually process the commission checks, an operation that was labor intensive and time-consuming. As with our credit counseling solution, electronic payments via MasterCard RPPS have greatly streamlined the entire process, giving Alliance Data a single automated feed for all of its collection agencies. "The new service greatly reduces the number of exception-item checks, the need to generate commission checks, and a large portion of the back-office procedure that supports those functions," says Kaufman. "The end result is faster, more accurate posting of payments at greatly reduced cost for Alliance Data." Agencies benefit, too Automated payment processing works to the advantage of the collection agencies, as well. "The payment file includes a commission edit that is analogous to the fair share edit in the MasterCard RPPS credit counseling solution," Kaufman says. "The concentrator posts the full amount of the payment, but the file is settled for the net amount - that is, the payment less the agency's commission. So the agency gets its commission immediately, rather than waiting the two to three weeks it could take to generate a paper check." In addition, agencies will see significant operational cost reductions since they no longer need to print checks and overnight them or manually process commission checks. Expanding our reach The development and implementation of the new collection service demonstrates the willingness and ability of MasterCard RPPS to work directly with customers to deliver solutions that address their needs. "We are always receptive to - indeed, we encourage - participant input," says Beth Bitetto, MasterCard RPPS. "This service shows just how valuable that input is. "The service also reflects the commitment of MasterCard RPPS to reach out to an ever-wider community of organizations and to bring 100% of payments into the electronic environment," says Bitetto. "That's what our customer in this situation wants to accomplish, and that's our objective too." Printer Friendly Version Back to Top