For as long as people have lent money or goods of value, there has been a need to have it repaid. According to records, the first known debt transaction traces back to Mesopotamia about 3,500BC. Farmers needing supplies would borrow from other traders or officials. Those who were unable to service their debt lost their farms and cattle and some cases even their wives and children were taken as slaves. One can only imagine the chaos and revolt this caused in social structures of the time. As a result, Babylonian kings occasionally announced general amnesties. Yep, debt forgiveness is not new!
“In fact the first word for “freedom” known in any human language, the Sumerian amargi, literally means “return to mother”–presumably, because all the children kept as debt peons (slaves) also were allowed to go home.” (Wikimedia Commons)
Over the years, debt has been at the centre of wars, uprisings and revolutions. This left politicians with a tough balancing act. On the one hand we have unscrupulous credit providers trapping people into debt agreements they cannot afford and on the other hand we have people taking credit they don’t intend to pay back. It stands to reason that there will always be more debtors than creditors in the world, and
as such, public opinion will be formed by the majority. To add fuel to the fire, “enslaving” people for debt owed, leaves a sour taste in the mouths of people. This has led to the introduction of norms, standards and laws which seek to protect the majority (let’s not forget that common law always protected the credit provider). These laws have sought to govern almost every aspect of the debt collection process,
Everything evolves. Whilst enslaving your debtors family is no longer allowed, you are still (legally) allowed to have your debt repaid by your debtor. The only difference is that you need to play by the rules!
Up to now, debt collection has followed a time-based recoveries model. This model has been in place for hundreds of years and is still followed by many credit grantors today. The idea is that an account will move from one phase to another as time passes and the debt is not recovered.
Whilst this process has worked well in the past, recent developments in analytics, changes in debtor behaviour and amendments to legislation have resulted in many constraints with this approach.
The widespread introduction of analytics into all areas of credit including credit management, has given rise to many alternatives within the recoveries environment. Past behaviour predicts future behaviour and trends in behaviour can be used to forecast and determine the likelihood of a debtor to make payment.
Debtor profiles are developed to enable credit grantors to predict, very early in the collections cycle, whether a debtor is more likely to respond to a phone call or a legal summons, or whether a debtor may respond at all. This enables companies to apply the correct recoveries strategy based on the debtor’s circumstances.
Credit management, like any other industry is transforming as we speak. The emergence of voice analytics enables us to listen to every single phone call 100% of the time. “Bots” enable us to have meaningful conversations with debtors electronically. Debtors have also evolved from wanting to physically go into a branch, to dealing with call centres, to engaging with robots in order to fulfil their requirements. As the saying goes “It doesn’t matter where you are coming from, it matters where you are going” (Brian Tracy)
Nimble is embracing this age of technology and we are moving boldly into the future with our sophisticated IT infrastructure and world class analytical tools aimed at providing affordable and sustainable solutions within the credit management space.
Written by Fawz Khan – Business Development Manager
St Agnes is a public school situated in Woodstock, Cape Town.
Nimble Group actively supports St Agnes Primary School through the Partners for Possibility programme. We dedicate resources to a variety of initiatives aimed at creating an enhanced learning and recreational space, enriched student experience, and optimized day-to-day running of school operations.
Computer room upgrade Our dedicated team of IT technicians has upgraded the school’s IT hardware and software, creating a more user-friendly and modern environment for students and teachers using the computer room daily.
Playground painting and revitalization
Our enthusiastic volunteers devoted their time to painting vibrant murals and interactive games on the walls and paved areas of the playground.
Enriched student experience
Nimble strives to continuously improve the student experience by celebrating academic excellence, sponsoring prize-giving events, and more.
Day-to-day operational support
We also contribute to the school’s operational efficiency by offering administrative support and providing access to Nimble’s HR and Finance functions.
Nimble Group has taken the initiative to establish an Early Childhood Development Centre, which began operating in January 2019 in Woodstock, Cape Town. The centre operates under the guidance of Peak child, and while accessible to the public, primarily serves as a subsidized preschool for the children of Nimble staff.
Peak Child aims to equip children with the best possible foundation for life by providing affordable, high-quality preschools in close proximity to workplaces, catering to the needs of emerging middle-class parents. Since its inception, Peak Child has focused on collaborating with socially responsible employers to support their staff beyond conventional employee benefits.
Peak Child offers comprehensive programmes for children aged 3 months to 5 years. Through partnerships with prominent educational experts and local primary schools they ensure that children transitioning from Peak Child are socially, academically, and physically prepared for admission to any of Cape Town’s leading primary schools. Peak Child currently operates three schools, including Peak Child Nimble.
Nimble has made a significant investment in this project, with plans to replicate this model close to its Johannesburg offices.
The Altius Et Latius Trust is a school education initiative aimed at providing bursaries to historically disadvantaged students, enabling their attendance at top schools in Cape Town.
The primary goal of the trust is to promote equitable access to high-quality public education, fostering lasting transformation. Their objective is to support fifty talented learners in gaining admission to high-performing schools.
Nimble Group continually makes a substantial impact on this crucial initiative by providing essential resources for additional student support, such as tutoring, funding for school events or excursions, sporting equipment and more.