As our nation begins to move slowly toward recovery from the COVID-19 shutdown, businesses are shifting their focus from the financial and other implications of temporary closures. The new focus is on developing “Reopen Strategies” that will allow our industry to slowly push toward normalcy.
DRNsights data can play a meaningful role in these strategies as it provides valuable insights into borrower behavior during this unprecedented situation. We’ve seen a few things happen with our data during the pandemic:
- Stay-at-home and work-from-home orders increase accuracy of license plate scans. With large numbers of people working from home and sheltering in place, cars are parked at home more than usual. This shifts our scans to a quality over quantity model. We may not be seeing your car at work, at the grocery store or at school, but that’s because you’re not there.
- Your customers aren’t where they were before COVID-19. We learned from a migration study we conducted on a client’s subprime portfolio in April that borrowers relocated at a much higher rate than usual during the pandemic. In January, 4.2% of the portfolio was located more than 50 miles from the given address. By March, it had grown to 10.5% – an increase of 125%. This information is more important now than ever.
How can this help you?
Available scan data can allow lenders to prioritize repossessions based on current, accurate location information. One example of using data to develop a better Reopen Strategy is to use DRN to locate vehicles that are in states open for repossession. This allows you to make sure you’re within state and federal guidelines while slowly getting repossession processes moving again.
Another great example is using DRN’s scan data to determine which vehicles have confirmed accurate locations. Assigning the low-hanging fruit first and the true skips in a later phase, you will increase your chance of getting cars picked up. This allows your agents to focus on more qualified assignments and spend less time chasing bad addresses.
By partnering with DRN and our team of Affiliates, lenders can rest assured they have the best information available for making the transition back to normal … whatever that may look like.
How can DRN help you as you restart your business? Contact us today at firstname.lastname@example.org.