TDX Group, the provider of analytics-based debt management solutions, and BancTec, a global provider of advanced, high-volume document and payment processing services and solutions, are working together to provide financial institutions with a fully managed IVA processing outsource service.
TDX Group formed “The Insolvency Exchange” 17 months ago and, with BancTec supplying the processing systems, is now providing a full end-to-end insolvency management platform that processes Individual Voluntary Arrangement (IVA) proposals on behalf of creditors, analytically decides which proposals to accept, optimises the lifetime return and manages each IVA through the 5 year term of the arrangement.
BancTec’s experience in mail room business process outsourcing (BPO) in the financial sector and ability to automate and streamline document and labour intensive transactional processes, brings the latest technologies and a business process infrastructure capable of efficiently processing all IVA cases and debtor payments. This significantly reduces the time taken for all IVAs handled through TIX, ensuring each IVA is properly considered.
Says Carol Hine, Head of TIX Operations, “By employing BancTec’s payment and document processing competences, which greatly improves our processing timelines, TDX Group is left to focus on its own core competences of analytics-based debt management.”
Processing IVA proposals is labour-intensive as they tend to be non-standard, with pertinent information scattered throughout the document. Without appropriate management systems this can lead to duplication, delays, and lost paperwork. “However”, says Carol Hine, “outsourcing has dramatically improved the average time for each proposal to be appropriately processed. One of our clients is now seeing savings of between 10% - 20% of the total value of debt being written off. The total of debt write-offs in 2006 was over €10 billion and the TIX programme is leading to some considerable savings for a major High Street bank.”
TIX and BancTec are now working with the major practitioners and the Insolvency Service to formulate common standards to apply across the IVA process throughout the industry. Currently the TIX platform now handles approximately 80% of all IVAs completed within the UK. Many new customers have come on-board the TIX platform to share similar benefits including some of the largest creditor organisations in the country.
