Nearly two-thirds of auto loan borrowers left their previous lender for their most recent loan. Rate is the reason most give, but rate becomes the deciding factor when the experience gives borrowers no reason to stay.
Justin Suter breaks down what CI found when reviewing the servicing experience for auto loan and mortgage customers: strong payment experiences that go quiet right after, with only 25% of auto loan providers sending a payment posted alert and no consolidation, format, or frequency controls on offer.
On the mortgage side, borrowers who felt ignored were more likely to place blame when something went wrong, while supported borrowers were not.
Try it yourself: check how your firm’s post-payment communication actually looks, and whether borrowers have any control over it.
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Justin Suter is the director of thought leadership at Corporate Insight.