Online Resources Seeks New Collection Sectors and Segments

Online Resources Corp. (NASDAQ: ORCC) has upgraded its online collections product to make it easier for clients to manage and is expanding the collections sectors that can use the product, William Kinnelly, senior vice president of marketing tells insideARM.com.

Online Resources held an analyst day in New York last week, updating the investment community on the Chantilly, Va.-based company. Online Resources provides web-based financial services to 2,700 financial institutions, billers and credit service providers, processing about $100 billion in bill payments annually.

In the collections segment, Online Resources markets the Virtual Collections Agent (VCA) product, which is used by eight of the 20 largest credit card issuers. Virtual Collections Agent is branded to the creditor and allows debtors to “self cure,” selecting from best-offer settlement, balance liquidation, and flexible payments.

Virtual Collections Agent is now “self-managed,” allowing clients to modify the look and feel of the Web site, to configure the settings of the site as needed, and to change the strategies used to attract debtors, said Kinnelly. Clients previously had to go through Online Resources to make changes.

The product upgrade also allows clients to manage multiple types of debt, and multiple sectors through one Web site, so a creditor or agency can use a single site to collect in both credit card and auto loan, he said.

Kinnelly said it has recently signed one of the three largest debt buyers as a client but declined to share the name.

Online Resources is working to grow its client list, both in size and sector. That means approaching creditors and agencies in insurance, healthcare, utilities, and telecommunications, while marketing to smaller creditors, he said.

“Virtual Collection Agent can be used by creditors of all sizes,” said Kinnelly.

Online Resources is also working with the major debit networks to implement so-called pinless debit acceptance on VCA, allowing debtors to make a payment with their debit card online without using their Personal Identification Number.