PCM PCM Technology & Data Management 2

Question 1

A collection manager wants to use data analytics to identify which accounts are most likely to pay if contacted. This predictive modeling approach is known as:

Accepted Answer

Propensity-to-pay scoring

Answer

Propensity-to-pay scoring uses account attributes and behavioral data to predict which debtors are most likely to make a payment if contacted.

Question 2

Skip tracing in debt collection refers to:

Accepted Answer

Locating a debtor who has moved or become unreachable using data search tools

Answer

Skip tracing uses data sources such as credit bureaus, public records, and address databases to locate debtors whose contact information is outdated.

Question 3

Which data security standard is MOST relevant for a collection agency that processes consumer credit and debit card payments?

Accepted Answer

PCI-DSS

Answer

The Payment Card Industry Data Security Standard (PCI-DSS) establishes requirements for any entity that processes, stores, or transmits payment card data.

Question 4

A collection manager reviewing system reports notices a high 'not in service' (NIS) rate for phone numbers in a new portfolio. What technology solution best addresses this?

Accepted Answer

Implement a phone number scrubbing and validation service before loading accounts

Answer

A phone number scrubbing service validates and updates phone numbers before they enter the dialing queue, reducing wasted call attempts on bad numbers.

Question 5

In the context of collection agency data management, what is a 'right-party contact' (RPC) rate?

Accepted Answer

The percentage of outbound calls that reach the actual debtor rather than a third party or voicemail

Answer

RPC rate measures how often collectors successfully reach the actual debtor, making it a key efficiency metric for dialing campaigns.

PCM - Professional Collection Manager Certified Practice Test

PCM - Professional Collection Manager Certified Practice Test

PCM PCM Technology & Data Management 2