New Methods
The VFA allows for the development of new methods for debt management and default prevention. Previously, the guarantor financing model was more focused on default collection. Approximately 60 percent of a loan guarantor’s revenue was generated from the collection of defaulted loans, with less than 10 percent coming from default prevention and zero percent coming from delinquency prevention. Under the VFA, focus shifted to proactive delinquency, which means to stop repayment problems before they begin.
Read more about this topic: Voluntary Flexible Agreement
Famous quotes containing the word methods:
“The reading public is intellectually adolescent at best, and it is obvious that what is called “significant literature” will only be sold to this public by exactly the same methods as are used to sell it toothpaste, cathartics and automobiles.”
—Raymond Chandler (1888–1959)
“How can you tell if you discipline effectively? Ask yourself if your disciplinary methods generally produce lasting results in a manner you find acceptable. Whether your philosophy is democratic or autocratic, whatever techniques you use—reasoning, a “star” chart, time-outs, or spanking—if it doesn’t work, it’s not effective.”
—Stanley Turecki (20th century)