SCRA: The Enterprise “White Glove” Model and Emerging Trends
United States military members and their families are protected by the Servicemembers Civil Relief Act (SCRA) so that they can concentrate on their job of defending the nation and not worry about their personal financial matters while in active duty. Bridgeforce has worked with organizations to ensure regulatory compliance for SCRA while also providing customer service consulting to help further improve SCRA programs within various institutions.
Ensuring Compliance and Best Practices
Compliance programs for SCRA must be robust and carefully designed to ensure strict adherence to the regulation. Programs should include controls from the three lines of defense. Examples of where controls should target include:
- Notification, activation, monitoring and removal of SCRA benefits.
- Searching the Defense Manpower Data Center (DMDC) at key protection points.
However, SCRA compliance is not just about regulatory compliance – but it is also about customer servicing. Several best practices should be in place to provide the important customer service components while helping to meet the regulatory requirements:
- Consistency of relief
- Single request for relief
- Centralized SCRA handling
- Strict vendor oversight
- Checking before submitting debt sales files
- Complaint monitoring
Bridgeforce Enterprise “White Glove” Model
The concept of the enterprise “white glove” SCRA model provides a concierge-like, end-to-end experience for Servicemembers and their families. This model helps facilitate an exceptional customer experience and can include additional benefits and treatments that are not regulatory requirements.
Multiple components comprise this model, from process and procedures to monitoring to technological capabilities that support the program. The most critical element is having a centralized SCRA handling group serving as advocates across all product channels.
Other elements of the “white glove” model include:
- Interest rate offers
- Exceptions for those in combat zones
- Relief without orders
- Communication flexibility (email, chat, text)
- Simplified consumer processes
- Centralized repository for all SCRA accounts
- DMDC scrub capabilities
- Consumer education (landing pages and shared information)
- Standardized relief calculators
- Robust control and exception reporting
With the continuing changes, stipulations and actions being taken related to this important regulation, institutions cannot afford to become complacent in their oversight of SCRA processes. Organizations should be open to changing existing processes and be agile in incorporating emerging industry best practices, as regulators will increasingly be looking for these to be in place. Download the full Bridgeforce white paper for details on best practices and considerations on how to incorporate the proven components of the “white glove” model into your business.