AI and data-led approach transforms fraud, collections and customer care functions
Reduced fraud loss by $12M in one year, improved turnaround time by 58%, cost-to-collect by 60% and NPS within customer care by 20%
Challenge
A large U.S. fintech bank was growing rapidly, offering expanded services to consumers and institutions. With this growth came operational challenges. Various departments were struggling to meet customer demand and regulatory requirements. In particular, the company’s fraud detection and operations, debt collections, and customer service needed focus to bring quality of service and scale.
After initially demonstrating success with credit risk analytics services, the partnership expanded rapidly to transform these three critical operational areas.
Solution
EXL’s banking and financial services team quickly assessed the company’s most immediate needs, within the fraud operations collections and customer care functions. These detailed and time-consuming transactions were not only affecting the company financially, but they were greatly impacting the customer experience.
When a financial transaction becomes suspicious, a customer account often is blocked or restricted and remains so until the possible fraud is verified. EXL offered an end-to-end solution for managing complex fraud operations. EXL built a team of 200+ fraud specialists who developed various machine learning models for fraud alert generation and rule set up, reviewed real-time suspicious alerts on customer accounts, and conducted fraud investigations. EXL’s team was brought together across multiple geographies while integrating analytics, operations, and various digital solutions to bring value across the fraud lifecycle.
As a result, transaction cycle time in fraud management was reduced, which in turn lowered company’s fraud losses. EXL’s integrated analytics and fraud operations approach brought significant value creation for the client through reduction in false-positives and false-negatives at the same time improving customer satisfaction.
Next up was addressing issues with debt collections. EXL promptly deployed a skilled team of experts and genAI solutions to bring a step-change in the collections operation. The team implemented EXL Paymentor℠, an AI-powered collections and receivables management solution that combines omni-channel customer engagement, proactive digital outreach and human intervention. This integrated approach augmenting humans with AI resulted in much higher RPC rate, promise-to-pay, conversion rate, and other benefits to improve overall collection outcome.
With the aggressive growth in membership and products, there was an urgent need to address client’s customer care function. EXL deployed a team of customer experience experts who engaged with banking and credit card customers through multiple channels to resolve a variety of queries. By implementing process improvements, the EXL team turned the customer service department into a 24/7 contact center, allowing the company to offer a human touch to its customers at any time. EXL brought in various AI-based customer experience solutions that have resulted in significant scalability and reduction in operating cost.
Results
The EXL financial services team quickly resolved the most pressing needs of the company as it grew its member base and product offerings across multiple geographies.
Within one year, EXL achieved significant results for the company:
- Rapid deployment of a team of 400+ resources across multiple complex functions
- Reduced fraud loss by $12.1 million and found another $6.6 million in savings through right resolution and restricting fraud
- Improved fraud investigation turn-around time by 58%
- Increased debt collections promise-to-pay by 60% and conversion rate by 10%
- Improved NPS by 20%
EXL was able to drive broad outcomes across company’s regulatory risks, fraud, collections, and customer experience functions. EXL continues to partner with the company to provide transformational data and AI-led solutions.