Client Relationship Management Flashcards

A client calls upset that a creditor is still sending collection letters after enrollment. What is the agent's best first response?

Answer: Explain that collection activity can continue during the program and review how settlement negotiations work

Enrollment in debt settlement does not legally stop creditors from collecting, so setting accurate expectations is essential.

Under the FTC Telemarketing Sales Rule, when may a debt relief company collect a fee for settling a specific debt?

Answer: After a settlement is reached, the client agrees to it, and at least one payment has been made to the creditor

The TSR advance-fee ban allows fees only after a debt is settled, the client agrees, and a payment has been made to the creditor.

A client asks whether the funds in their dedicated account belong to the debt relief company. What is the accurate answer?

Answer: The client owns the funds and may withdraw them at any time without penalty

The TSR requires that the client owns the funds held in the dedicated account and can withdraw them at any time without penalty.

Which practice best builds long-term trust with a newly enrolled client?

Answer: Scheduling regular check-ins and giving honest progress updates even when there is no settlement news

Consistent, honest communication keeps clients informed and reduces program dropouts.

A client wants to drop out of the program after four months. What should the agent do?

Answer: Explain the client's rights, discuss options and consequences, and process the cancellation if the client still wants to leave

Clients may cancel and get their unearned funds back; the agent should inform them without coercion.

When reviewing the program with a prospective client, which disclosure must the agent make about time?

Answer: How long it will take to make a settlement offer to each creditor, based on the client's savings

The TSR requires disclosure of the time frame needed to get results, including when offers will be made to each creditor.

A client whispers that they are struggling to afford groceries because of their program deposit. What is the most appropriate step?

Answer: Reassess the budget and discuss adjusting the deposit or other options

Program deposits should be affordable, so a budget review protects both the client and the client's chance of finishing the program.