The “bullish” debt buying market is ripe for ARM professionals interested in expanding their business.
In this informative discussion, the two industry experts provide listeners with an insider’s view of the market and how to approach debt buying.
If you are a niche buyer, now is the time to get in front of the banks and make your case,” Chiodo said.
“We’re bullish on the debt buying marketplace right now,” added Ginsberg. “There’s an underlying reason for that—as everybody so painstakingly knows—the great recession hit the ARM industry square in the jaw.”
While many banks stopped originating new loans during the recession, the ones that continued working in the space approached business from a conservative standpoint. “What followed was a tremendous drop off in delinquencies, resulting in significant reductions in placement volumes for agencies that service debt and for debt sales overall,” Ginsberg said. “Fast forward 10 years to where we are today, and banks are originating at the levels that existed before the great recession, delinquencies are back up where they should be, and ARM companies have learned to operate in a heavily complaint marketplace.”
Economic conditions are strong, “which is just one of the many reasons why we are bullish on the market,” Ginsberg said.
To learn more about debt buying along with tips for avoiding mistakes, click here to listen to ACA Cast: Debt Buying: Mistakes to Avoid.”