Category: Product and Technology

Defeating TCPA Claims: How Tech Documentation and Do-Not-Call Registry Rules Protect Digital Debt Collection

By on October 13th, 2026 in Company News, Product and Technology
The blog title set in front of a lawyer working at a desk.

A documented messaging platform defeats an autodialer claim: Maryland federal court grants TrueAccord summary judgment

A new decision out of the United States District Court for the District of Maryland delivers another win for digital debt collection. The case is a clear reminder that knowing, and being able to prove, exactly how your messaging technology works can decide a case. In Beaufort Nickson v. TrueAccord Corp., Civil Action No. DKC 25-3686, the court granted TrueAccord summary judgment on the plaintiff’s Telephone Consumer Protection Act (TCPA) autodialer claim, holding that there was no genuine dispute because the technology used to message the plaintiff was not an automatic telephone dialing system.

The decisive evidence came from TrueAccord’s messaging partner, Solutions by Text (“SBT”), who provided technical specifications regarding SBT’s platform which  left the plaintiff’s conclusory autodialer allegation with nothing to stand on. The court entered judgment for TrueAccord and closed the case on October 5, 2026. The decision is also another important reminder that the national do-not-call registry does not apply to the collection of debts. 

The Case

Proceeding pro se, plaintiff Beaufort Nickson sued TrueAccord under the TCPA, alleging two counts:

  1. That TrueAccord violated 47 U.S.C. § 227(b) by using an Automatic Telephone Dialing System (ATDS) to send him debt collection messages without his consent; and
  2. That TrueAccord violated 47 U.S.C. § 227(c) by contacting him despite his number being on the national do-not-call registry.

The messages at issue were debt collection communications: TrueAccord began sending the plaintiff text messages about his balance on August 25, 2024, followed by a September 29, 2024 email explaining that TrueAccord was attempting to help resolve it.

After the close of discovery, TrueAccord moved for summary judgment on count one and, with leave of court, later moved to dismiss (or in the alternative for judgment on the pleadings) on count two. The plaintiff did not oppose the second motion.

Platforms that Do Not Store or Generate Numbers Are Not ATDS.

The court granted summary judgment to TrueAccord on count one because there was no genuine dispute that the technology used to message the plaintiff was not an ATDS. Under Facebook, Inc. v. Duguid, 592 U.S. 395 (2021), a device qualifies as an ATDS only if it can “store a telephone number using a random or sequential generator or … produce a telephone number using a random or sequential number generator.” The complaint offered only a conclusory assertion that TrueAccord used an ATDS.

TrueAccord, by contrast, came to the record with proof. SBT, TrueAccord’s messaging vendor, provided a statement of technical specifications confirming that its platform does not “create, derive or independently store telephone numbers” and does not permit sending messages using random or sequential number generation. On that record, the court found no genuine dispute that the platform was not an ATDS. Because the plaintiff could not establish ATDS use, the heavily-briefed consent question never affected the outcome.

Nickson is the latest in a growing line of cases confirming that the technology behind modern digital debt collection is not an autodialer. In Robertson v. TrueAccord another court reached the same no-ATDS conclusion from a different direction, reasoning that because TrueAccord’s text messages contained personalized account details such as the specific debt amount, it was implausible the messages were sent by a system that randomly generates numbers. Where Robertson looked at the content of the messages, Nickson looked at the documented capabilities of the platform itself. Read together, the two decisions show from both angles that debt collection messaging technology does not meet the ATDS definition.

Debt Collection Messages Are Not Solicitations.

The court also dismissed count two, and the reasoning is worth spelling out. Section 227(c) creates a private right of action for a person who receives more than one telephone solicitation within a 12-month period to a number on the national do-not-call registry. The plaintiff plausibly alleged that his number was on the registry but that allegation alone does not make out a claim. The statute protects against telephone solicitations, not against every unwanted message, and a plaintiff must therefore allege that the messages he received were solicitations within the meaning of the TCPA.

They were not. The TCPA defines a “telephone solicitation” as a message initiated “for the purpose of encouraging the purchase or rental of, or investment in, property, goods, or services.” 47 U.S.C. § 227(a)(4). The plaintiff alleged that every message TrueAccord sent him related to debt collection. However,  a debt collection message is not sent to encourage a purchase, rental, or investment. Because the messages were not solicitations, the do-not-call rules did not apply, and the plaintiff failed to state a § 227(c) claim. The holding is a useful reaffirmation of a long-settled but frequently misunderstood point: the national do-not-call registry does not reach the collection of debts.

The do-not-call framework also does not fit the nature of digital debt collection for a more practical reason. Text messaging is a far less intrusive channel than the phone calls that prompted the TCPA in the first place — a text can be read and ignored on the consumer’s own schedule, and does not interrupt a person’s day the way a ringing phone does. 

Key Takeaways

The lesson of this decision is a practical one: knowing and being able to prove how your messaging technology actually works is a core compliance asset. Post-Duguid, a plaintiff must show that the technology can randomly or sequentially generate numbers. A conclusory allegation that a collector used an autodialer will not survive against a well-documented record.  A collector that can put the actual capabilities of its platform in front of the court, through technical specifications and a sworn declaration, can take the autodialer question off the table on summary judgment.

That is only possible with the right partners. Here, the decisive evidence came from SBT, whose detailed technical specifications directly answered the autodialer question and carried the day. We are grateful for that partnership. When a vendor stands behind its technology, and can document precisely what the platform does and does not do,  it protects not just itself but every collector who relies on it.

A Closing Note on the Motion to Compel and Pro Se Litigation

One feature of this case deserves a closer look. The plaintiff challenged the adequacy of the SBT technical specifications and moved to compel additional discovery. The court held a telephone conference on July 10, 2026, and denied the motion, finding that TrueAccord had adequately complied with the plaintiff’s discovery requests.

The plaintiff litigated this case pro se, as was his right. Courts across the country are seeing a significant rise in pro se filings, a trend accelerated by the growing use of large language model tools that help consumers prepare and file their own cases. That is neither surprising nor improper, access to the courts is a right, and these tools are lowering the barriers to exercising it. But it is a reality that businesses and the court system alike are now navigating, and it changes the texture of litigation. 

It is fair to say we may not have seen this motion to compel at all without a pro se litigant testing the sufficiency of the defense evidence firsthand. For collectors, the takeaway reinforces the point above: the better documented your technology and your defenses, the better positioned you are to meet challenges from any litigant, represented or not, and to give the court a clear, well-supported record on which to rule.

Get More Insight Into Debt Collection Compliance with TrueAccord

This case is a great example of the expertise TrueAccord’s legal team puts into practice. We’re committed to following and moving case law forward that furthers our mission of bringing a consumer-centric approach to debt collection. Our digital collections process is controlled by code and sets the standard for compliance.

Do you want a firsthand look at how TrueAccord could bring personalization at scale for your accounts? Our expert team is ready to help.

This blog is not legal advice. Legal advice must be tailored to the particular facts and circumstances of each unique matter.

What Does an Omnichannel Debt Collection Strategy Look Like?

By on September 24th, 2026 in Machine Learning, Product and Technology
A consumer using a variety of communication channels at home.

There are plenty of debt collection strategies that leverage multiple communication channels to reach consumers. However, there’s a difference between using several distinct channels (multichannel outreach), and an omnichannel approach that connects every touchpoint to an intelligent feedback loop. 

If your business is looking at how to improve collections performance, simply adding more channels isn’t enough. Channels need to talk to each other and inform decisions instead of being siloed out. Let’s take a closer look at what an omnichannel debt collection strategy is. 

The Difference Between Multichannel and Omnichannel Collection Strategies

It’s important to know the difference between multichannel and omnichannel debt collection strategies. Multichannel strategies are usually focused mainly on maximizing reach. A variety of communication channels are used, but they run on their own track and often don’t know how other messages performed. For example, a consumer who ignored a text message, could just get sent another in hopes of a different result. 

In an omnichannel debt collection strategy, there is coordination between channels. The interaction with consumers flows across touchpoints seamlessly. There’s coordination to send debt collection communications based on consumer behavior and preferred channels. 

The Core Pillars of an Omnichannel Collections Strategy 

1. Unified Data and Effective Management of Communications 

The center of an omnichannel debt collection strategy is consumer engagement data. Whether a consumer ignores a text message, opens an email, clicks on a link, or makes a payment, the outreach system is made aware of it. Every communication channel talks to each other to prevent duplicate outreach, help ensure compliance and honor consumer preferences. This is the essence of the term “unified data”. All of the decisions the system makes like which channel to use, the timing of sending a message and more is using the whole data pool. 

2. Machine-Learning Channel Orchestration 

Instead of static frameworks like an email drip campaign sending out messages on a set schedule, an omnichannel strategy can use machine learning to figure out: 

  • Timing: When is each consumer most likely to engage with your message? 
  • Channel: What is the preferred communication channel for each consumer? (email, SMS, phone call, etc.) 
  • Content & Tone: Which content template most aligns with each consumer and offers the best opportunity for engagement? 

Machine learning technology (like the patented HeartBeat engine at TrueAccord), continuously looks at consumer behavior to decide on the next best action dynamically. Key metrics like click-through rates, open-rates and time-of-day activity also give the technology ability to adapt and adjust the variables listed above to try and improve recovery rates. 

3. Self-Service Integration in Omnichannel Debt Collection

Outreach is only part of the equation for an effective debt collection strategy, the action consumers are being asked to take is important too. To help reduce friction with making a payment, omnichannel strategies include a link to a self-service portal in many communications sent out. Just like the communication channels themselves, the link between the message and a payment portal needs to be seamless. 

For example, if an SMS link opens a webpage that requires a multiple-step process to make a payment, it’s likely to hinder recovery rates. A self-service portal that’s optimized for mobile devices that lets consumers submit a payment in a few steps is considered best practice. 

How an Omnichannel Debt Collection Strategy Helps Drive Performance

When the right omnichannel debt collection strategy is implemented, it can offer a variety of key benefits to businesses including: 

  • Boosting Engagement Without Raising Costs: An omnichannel strategy helps empower collectors to effectively use digital channels that can more efficiently handle early-stage outreach. It automates time-consuming and expensive manual outreach. 
  • Meeting Consumer Preferences: A core benefit of an omnichannel debt collection strategy is that it meets consumers where they are. And more consumers than ever before prefer businesses to reach them through digital channels.
  • Strengthen Compliance Efforts: Debt collection compliance is always evolving with regulations governing contact frequency, consent rules and more. Channels that are isolated typically have more risk, a unified omnichannel approach helps ensure solid compliance. 

Elevate Your Collection Strategy with TrueAccord

TrueAccord is the premier omnichannel debt collection agency that leverages patented machine learning to deliver superior performance and a consumer-first experience. If your business is interested in learning more about taking the guesswork out of collections, we’re here to help. Contact our team today to get started. 

What Collectors Need to Know About Consumer Behaviors

By on August 28th, 2026 in Machine Learning, Product and Technology, User Experience
A consumer making a debt repayment on their computer.

Humans are constantly changing their behaviors based on what’s going on around them. As consumers, many of us have an internal set of rules that businesses need to follow to earn and retain our loyalty. Today, businesses have to work harder for people to take action – the days of guaranteed consumer engagement are gone. 

Nowhere is more true than in debt collection. To succeed today, collectors have to consider changes in consumer behavior and prove authenticity to improve recovery rates. What are some of the biggest trends in consumer behavior that debt collection strategies need to address? That’s exactly what we’re going to explore below. 

Personalization is King for Debt Collection Strategies

Consumers today expect a hyper-personalized experience from any financial brand they interact with. At a baseline, this means having a firm understanding of each consumer’s challenges and preferences. Collectors need to approach consumers as an empathetic friend who knows them to prompt more engagement. 

A common misconception about personalization is that it should only be in the copy. However, there’s more to it than that. Personalization extends to the channel of the message, so debt collectors are increasingly leveraging an omnichannel approach to send a message through each consumer’s preferred communication channel. In fact, 46% of consumers expect brands to communicate through their preferred channels. And an omnichannel approach can increase recoveries by as much as 40%. 

Another useful and sometimes forgotten form of personalization is providing consumers with the option to self-serve. In our experience, the majority of consumers (>90% of TrueAccord consumers) prefer to resolve their financial obligations on their own. This empowers them to get around feelings of stress (and even shame) speaking with a human agent, while allowing them to make a repayment on their own time.

Prioritize Creating a Frictionless Experience with Consumers 

Whether your business is sending a debt collection email, text message, or calling, the process needs to be easy for consumers. For most accounts, it’s important to limit the number of steps required for someone to take action. As an example, some collectors send a letter or email where the consumer might have to take information and feed it into a website, create an account, or log in prior to completing their payment.

Any hiccup or frustration a consumer experiences through the repayment process can cause them to disengage. So, a longer journey will likely lower repayment rates with consumers. Consumers today have a low tolerance for complicated processes, especially when it comes to financial matters. It’s best practice for every digital communication to have a clear next step that’s easy for consumers to recognize. Emails and text messages are convenient as they can provide a direct link to a payment portal. 

Another crucial factor is making sure any information consumers need is not hidden. For example, let’s say a consumer needs their account number to make a repayment. The consumer shouldn’t have to go through multiple steps to get that information. That account number should be included right in the message to make the repayment process as frictionless as possible. 

Consumers Prefer Financial Wellness & Collaboration

Over the last few years, consumers overwhelmingly prefer to work with businesses that are invested in their financial wellness. For debt collectors, that means trading in more traditional strategies for empathy. Collectors need to lean into being collaborative with their customers to ease the emotional burden of repayment. Financial stress is often hard to deal with, and a consumer who feels supported is more likely to make a repayment. 

The act of reciprocity is a big trend in consumer behavior, with most consumers hoping for a business to extend the olive branch first. However, even with this aspiration, the rise of financial scams has made consumers more hesitant to take the first collaborative step. True personalization can help cut through some unease, so it is important to be easy to work with from first contact. This often means giving the consumer options on how to move forward. In fact, it’s best practice to offer a self-service portal and a contact number as repayment options.

Consumer Engagement is TrueAccord’s Specialty 

TrueAccord is a premier debt collection agency that leverages AI technology to deliver a consumer-centric experience. With first and third-party collection services, we take the guesswork out of collections to help consumers find a way forward. If your business is interested in high-performance recovery with consumer-first results, we’re here to help. Contact our team today to learn more.

Who Do Consumers Trust More? Human or AI Agents in Debt Collection

By on July 15th, 2026 in Industry Insights, Machine Learning, Product and Technology
A close up of a person and robot arm shaking hands.

As AI agents grow in popularity within the debt collection industry, there is a core question being asked by businesses – who do consumers trust more, AI or human agents? There’s an assumption that consumers will always prefer a human since they provide an innate understanding that AI technology can’t replicate. 

When we look at the data and consumer trends, the answer is more complicated and nuanced. We’re going to take a closer look at the dynamic between consumers trying to resolve financial obligations with humans and AI agents for debt collection. 

Consumer Trust in Debt Collection Often Comes Down to Resolutions

For consumers, the main goal is usually less frustration and a more effective resolution to their financial obligation. Whether it’s an AI or human agent that delivers the frictionless experience, most consumers don’t really have a preference between the two. 

There are plenty of automated systems and AI processes in everyday life that often don’t work as intended. So, consumers want digital and AI experiences to work without any hiccups. The question of trust comes in when there’s challenges in the experience like AI not understanding consumer answers, the process taking too long and more. 

The AI Agent Trust Gap with Consumers

The Parloa Consumer Patience Index report highlights that customer service automation and AI agents can cause trust issues with consumers. According to the study, roughly 30.4% of consumers have zero trust in AI’s ability to handle complex cases. What’s even more staggering is that 93% of the survey respondents said that legacy Interactive Voice Response (IVR) systems fail too often before their issue is resolved. 

Modern AI agents have to regain the trust lost by these outdated AI technology tools. It’s created a consumer trust gap that the debt collection industry should be aware of: 

  • The 3-Minute Time Limit: 55% of consumers will disconnect with an automated or AI system within three minutes if their problem isn’t solved. 
  • Frustration is Common: 61% of consumers admitted to yelling at an AI agent to get routed to a human agent faster. 
  • The Time Trade-Off: Roughly 66% of consumers would rather wait longer for a human agent because they believe AI agents aren’t as accurate. 

What This Means for AI Agents Used for Debt Collection

On the surface it might seem like consumers are against AI agents, but that isn’t the case. The same Parloa survey reported that 85% of consumers would prefer to use AI agents if it solved their problems reliably. Consumers want AI agents to be effective in debt collection because it’s a great way to avoid feelings of judgement or shame that often come with talking to another person. 

AI technology will continue to evolve and get better at solving consumer problems. In the meantime, there are a few key strategies that businesses can use to help bridge this consumer trust gap in debt collection: 

  • Easy Human Handoffs: When your business is using AI agents, make it easy for consumers to be transferred to a human agent. Ideally, the AI technology will detect rising consumer frustration through keywords or tone of voice and pull in a human agent. 
  • Give Consumers Self-Service Options: AI and human agents aren’t needed for every problem. Give consumers the ability to self-serve with payment portals attached to debt collection email and text messages. 
  • Practice AI Transparency: It’s recommended to disclose to consumers when they’re talking with an AI agent. By disclosing this up front, it reduces the risk of consumers becoming frustrating by finding out later on in the conversation. 

Which Agents Do Consumers Trust More 

Right now, trust in human agents is higher compared to AI counterparts. However, that gap is closing rapidly as technology evolves. In the debt collection industry, consumers want to trust AI agents, but businesses need to prove that the process can go smoothly. Companies like TrueAccord have shown that empathy and understanding don’t always have to come from a human voice. 

AI and human agents can both be used to offer a frictionless and consumer-centric experience for debt collection. Digital-first collection strategies empower consumers to interact when, where and how they want. The true debate isn’t about whether or not an AI or human agent is the best for consumers – the best collection strategies leverage both to provide a better experience. 

High-Performance Recovery That Puts Consumers First

Is your business looking to put a more consumer-centric emphasis into your recovery strategy? TrueAccord is a premier omnichannel debt collection agency that offers first and third-party services that put consumers first. We take the guesswork out of collections with a patented machine learning engine that optimizes engagement with each consumer.

Contact our team today to learn more about how business can increase recovery performance and consumer trust. 

What Does the Right Debt Collection Message Look Like?

By on May 27th, 2026 in Customer Experience, Product and Technology, User Experience
I person using a smartphone set behind the blog title.

There’s a question that almost every recovery strategy has to address: What does the right debt collection message look like? The answer isn’t straightforward. Every customer has unique preferences when it comes to the communication channel, the tone of the message and more that businesses should try to honor in order to engage them effectively. The real answer is, the right debt collection message looks different for each individual. 

With the countless variations in consumer preferences, how are debt collection strategies supposed to find the right message? We’re here to answer that question and provide some helpful steps businesses can take to improve their recovery strategy.

The Right Message Starts with Personalization

Many traditional debt collection communications, in the interest of efficiency at scale, speak to every consumer the same way. There’s no change in tone or sentiment found in the message, and the only personalized piece is the account details. That approach is no longer enough for today’s consumers who expect businesses to go the extra mile and honor their preferences. So, how can debt collection strategies meet this expectation? 

An omnichannel approach offers collection strategies the flexibility to send messages through the channel each consumer prefers. The ability to send emails and text messages makes your business better equipped to meet consumers where they are. It’s also important to have messages with different tones. For example one email template could focus on being upfront and transparent in the messaging which could appeal to consumers who prefer businesses that are direct and fact-driven. 

AI technology can also help businesses add personalization to debt collection messages and other communications to build rapport and approachability. AI agents can be trained to pick up on unique consumer nuances. As an example, one of TrueAccord’s AI-generated responses signed off an email with “may the force be with you”, since the consumer it was speaking to had a Star Wars themed signature.

To Find the Right Message, You Need Options

For digital communication channels, it’s important to have a variety of content templates to use. Not only does this help your recovery strategy honor more consumer preferences, but it also allows more flexibility to optimize recoveries. TrueAccord, for example, has hundreds of email and SMS templates that business partners can choose from. In this library, there’s a variety of templates that are made to address different stages of the collections lifecycle with different messaging approaches. 

There are a few aspects that make TrueAccord’s approach to sending the right message unique. The first is in the TrueAccord content team that works to create and refine content templates, adjust subject lines, and test new approaches to match consumer preferences. The second is that TrueAccord uses a patented machine learning engine called HeartBeat that works through millions of data points to select the right message for each individual account.    

Debt collection messages shouldn’t take a one-size-fits-all approach. The core of an empathetic and human-centric approach is doing the work to understand the consumer before reaching out. This goes beyond the words in the messages being sent. The right debt collection message is also sent at the right time and through the right channel, to help drive engagement without aggression.

Debt Collection Messages Need Self-Service Options

Oftentimes, the right debt collection message has a self-service option that allows consumers to handle their financial obligations without talking to a human. When a debt is owed, it’s common for people to have feelings of shame, anxiety or judgement about the situation. These feelings often escalate when it needs to be discussed with another person to be resolved. Self-service options help cut through that barrier and put consumers in control. 

In fact, roughly 90% of TrueAccord customers resolve their debts through self-service without talking to a human. The right message should have the option to use an intuitive digital portal that makes the repayment process more convenient. As consumer preferences continue to overwhelmingly favor digital communication channels, self-service options are a great way to engage with consumers who no longer want to pick up the phone.

Compliance – The Unsung Hero of Collection Messages

No matter what type of content is being sent to a consumer, the right debt collection message needs reliable compliance measures supporting it. Digital debt collection communications need a system that can keep up with the rapidly changing regulatory landscape and case law.

Legal experts should be weighing in to help ensure the content in the debt collection messages being sent don’t break any rules or open up the business to risk. TrueAccord has compliance informed by legal experts and secured by code, with compliance firewall technology built within the system to ensure federal and state compliance requirements are being met.

Send Debt Collection Messages That Put Consumers First

TrueAccord is the premier omnichannel debt collection agency that uses AI technology to create a consumer-friendly experience and higher performance. With full lifecycle recovery solutions, the TrueAccord team can help your business find the right message with a human-centric approach. Contact our team today to get started.

Why Personalization Matters in Debt Collection

By on March 10th, 2026 in Machine Learning, Product and Technology
A debt collection professional working at a computer.

Imagine if there were a streaming service that only had one show to watch? Some customers may be happy, but it wouldn’t appeal to most due to not addressing consumer preferences. While debt collection strategies and streaming apps don’t share many similarities, there is an important connection – personalization often delivers better results. 

If you’re wondering how to improve recovery rates, personalizing collection communications by honoring preferences is a good place to start. In this blog post, we’re going to highlight how to take a more consumer-centric approach to your debt collection strategies.

Break Away from One-Size-Fits-All

Traditional debt collection strategies tend to exclusively use outbound calling and/or physical mail to reach out to consumers. There are two core issues with this approach. First, consumers often prefer to be contacted through digital channels. Second, the cost of call-to-collect and direct mail strategies continues to rise. So if your strategies do not include digital, then your tactics are more expensive and have a lower likelihood of recovery. 

When a business invests in a one-size-fits-all approach, it’s leaving repayments on the table. By having multiple channels in your collection strategies, you are in a better position to connect with consumers. According to McKinsey data, initiating contact through a consumer’s preferred channel can lead to a 10% increase in payments.

Remove Spam Concerns

Consumers are increasingly weary about communications that are not aligned with their expectations, which may give them a reason not to respond. For example, if a consumer prefers text messages, calling them is far less likely to work. By contrast, a text message that outlines their financial obligation that directly links to a self-service portal is likely to improve the recovery rate in this instance. 

Personalization in debt collection is all about meeting consumers where they are. Debt collection strategies that favor “integration” over “interruption” tend to have higher performance. By aligning your debt collection communications with a consumer’s established behavior, you’re embracing a higher level of empathy through convenience. The process of honoring consumer preferences helps show that your business values their time and preferences. 

Improve Customer Relationships

It’s common for consumers to only owe a debt temporarily, however many businesses like banks and lenders want to retain customers. A debt collection strategy that doesn’t honor consumer preferences will likely feel impersonal, which runs the risk of deteriorating a customer relationship. A personalized approach that reaches out through the right channel, at the right time and with the right message helps preserve the relationship a consumer has with your brand. 

In some cases, improving the consumer experience leads to recovery rates following suit. Every consumer has a preferred communication channel and experience they’re looking for. For example, many consumers prefer to make repayments without ever interacting with a human. This is why roughly 98% of delinquent consumers serviced by TrueAccord resolve their debt on their own through our self-service portal.

Tailor Communications At Scale with Machine Learning

How can a business uncover the preferred channel, the best time and content for each consumer? The answer is machine learning. Machine learning algorithms can analyze past and current consumer behavior to personalize the collection experience at the account level across any portfolio of accounts.

TrueAccord has a patented machine learning algorithm called Heartbeat that has been used to upgrade debt collection strategies for years. Heartbeat works around the clock to be there whenever a consumer is ready to take the next step. Unlike other AI tools, Heartbeat reaches out to every account, and never stops working to find the best communication, channel, and message time for each consumer. 

Heartbeat is trained on millions of consumer engagement data points to craft a communication strategy for each account. If that strategy doesn’t work, it learns and adjusts and keeps trying until a resolution is reached. Unlike traditional collection strategies, this approach takes into account the personal preferences of every consumer it engages with, and results speak for themselves. Within the first nine months of using a personalized debt collection strategy with TrueAccord, a Fintech client was able to collect $500,000 with 95% of those consumers using self-service options.

*If you’re interested in seeing how a SaaS solution could help your internal team personalize digital debt collection communications at scale, explore our sister company Retain.

Deliver Personalization at Scale with TrueAccord

TrueAccord takes a consumer-centric approach to debt collection by leveraging machine learning to personalize the experience for every account. If your business wants to achieve better recovery results while prioritizing a consumer-friendly experience, TrueAccord can help. Connect with our team today to learn how more personalization could be woven into your collection strategy.

Is the Best Debt Collector an Algorithm? 

By on February 20th, 2026 in Industry Insights, Machine Learning, Product and Technology
The blog title set in front of a robot waving.

There are quite a few sitcom episodes where one of the main characters is competing against technology. Whether it’s selling more paper than a website, or automating IT support, the human element in these shows always prevails. In the debt recovery industry, machine learning algorithms have stepped up to challenge humans for the title of best collector. 

At scale, algorithms have many innate advantages for debt collection over human agents. Let’s take a look at how this competition would shake out, the argument for why machine learning algorithms are the best debt collectors and how it stacks up to other technology like chatbots. 

The Benefits of Machine Learning and Algorithms for Debt Collections

One of the core reasons why machine learning algorithms can be considered “the best collector” is because they can process large datasets faster and more efficiently than humans. Algorithms can analyze data of past consumer behavior, learn the nuances of individual accounts, and adjust strategies to improve the collection approach over time. By comparison, it would take a team of humans countless hours to reach the same level of analysis and insight, let alone making the required adjustments at scale.

When data is leveraged to offer personalization at scale, every interaction with a consumer is optimized for engagement. For example, an algorithm could send an email to a consumer first. If that person doesn’t respond, the technology could try a new content template, subject line or even try sending a text instead. The speed at which algorithms can process data allows debt collection strategies to evolve to meet consumer preferences with greater accuracy.

*Curious to see how your internal collections strategy could offer personalization at scale for digital channels? Take a look at our sister company Retain and learn more about white-label debt collection software.

Deployment Speed and Compliance Risk Differences

Human collectors take significant time and resources to train. They often have to go through weeks of onboarding and need to shadow more experienced collectors before reaching out to consumers. An algorithm can often be integrated into existing collection strategies faster to make a lasting meaningful impact. Algorithms solely focus on analyzing data and behavior to optimize collections. It’s technology that has no emotional biases or “off” days that happen to every human being. 

Machine learning algorithms help enable code-based compliance. It helps ensure that all regulatory requirements for debt collection are being met with the ability to run real-time updates for any new rules and case law. This technology eliminates the “human error” factor in debt collection compliance, which reduces risk for businesses across their recovery strategy. 

When a “Human Touch” is Needed in Debt Collection

While machine learning algorithms can automate digital communications and optimize engagement, there are situations where human collectors have an advantage. Consumers with larger debt balances are more likely to prefer a human collector who can work through a more complicated situation with empathy. Even though consumer preferences are shifting more towards digital communications and self-service portals, some consumers will only talk to other people. This fact is part of the reason why it’s important to have an omnichannel collections strategy to help ensure all types of consumer preferences can be honored.

Algorithms vs. Chatbots for Debt Collection

In the debt collection industry, there have been more companies utilizing chatbots in their recovery strategy. The most common application is when a consumer visits the website, an option appears that lets that person talk with a chatbot. However, this form of self-service has some drawbacks that make it less valuable than machine learning algorithms that operate at the heart of the strategy. 

If a chatbot is powered by AI, there’s a risk of hallucinations occurring. When discussing debts, inaccurate information from an AI chatbot could lead to an increase in disputes and expose the business to legal risks. The other option is decision tree chatbots that could have trouble resolving more nuanced questions from consumers. 

The effectiveness of chatbots for debt collection has one big issue: in most cases, the consumer has to visit a company’s website to engage with it. Once a consumer goes to a collector’s website, they’ve already taken a big step towards engagement. Debt collection is often about finding the most effective ways to get a consumer’s attention and prompt action. Chatbots still require the outreach to drive consumers to a website.

AI Voice is Poised to Become a New Challenger

AI voice technology has made huge strides recently. AI voices have the ability to sound human with different tones, speech inflections and more. Even when the use of an AI voice is disclosed, the realism it can now achieve helps consumers get past some hesitancy of speaking to it. In the future, it’s likely that we’ll see more voice AI integrated into omnichannel collection strategies. While complex cases would be handled by human agents, voice AI could handle the more routine calls. This alone could significantly improve the effectiveness and efficiency of collection strategies.

Get High-Performance Recovery Powered by Machine Learning

TrueAccord has a patented machine learning engine called “Heartbeat” that creates a personalized journey for every consumer. If you’re ready to learn more about why many industry experts believe that an algorithm is the best collector, we’re here to help. Contact us today to explore TrueAccord’s full-lifecycle recovery solutions.

Debunking 3 Common Digital Debt Collection Myths

By on February 3rd, 2026 in Industry Insights, Machine Learning, Product and Technology
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There’s no question that the debt collection industry is in a state of evolution, but one thing that persists, especially with change, is the emergence of myths. As more businesses are turning to a digital collection strategy, misconceptions are naturally going to arise with a new approach that focuses on email, text messages (such as SMS and MMS), and self-service portals. 

Let’s take a look at three of the most common digital debt collection myths, the truth behind them and how a digital-first approach to collections helps businesses. 

Myth 1: Self-Service Reduces Recovery Rates in Debt Collection

Experts agree that it’s likely this myth was born out of the dominance call-and-collect had over the industry for decades. In fact, many businesses still hold the opinion that direct contact from a staff member is the best way to improve recovery rates. The truth is that self-service portals not only improve recovery rates, but they are also preferred by the majority of consumers. 

A 2023 TransUnion data report showed that 60% of consumers prefer self-service options to resolve their debt. Self-service portals give consumers the added convenience of being able to view and manage their debt on their own time. Another study conducted by McKinsey found an increase of 15% for cured accounts after self-service options were implemented. 

The beauty of self-service is that it eliminates the “shame factor” many consumers experience when talking to someone directly about their debt. This comes into play when consumers are making decisions on which bills to prioritize. Roughly 14% of bill-payers identified “the ease of making a payment” as a key factor in their decision-making process. 

Myth 1 Status: Busted – Self-service options DO NOT reduce recovery rates. Your business could actually improve repayment performance by embracing this digital-first strategy. 

Myth 2: Digital Debt Collection Strategies Are Too Expensive

The debt collection industry is leveraging technology more than ever. When businesses see adjectives like “AI-powered”, “automation” or “digital communications”, there’s an assumption that these products and services are expensive. Even when a business is interested in taking a digital-first approach, the process of setting up email, text messages and other channels can seem costly to build from the ground up. 

While there’s always a cost to implementing digital debt collection strategies, the more traditional tactics are increasing in cost as well. For example, the cost of sending physical mail continues to increase, and businesses that rely heavily on call-and-collect often need to hire more staff to scale up collection efforts. A McKinsey report found that embracing a digital-first approach can lower the cost of collections by upwards of 15%. 

There are also collections platforms powered by machine learning like TrueAccord that use consumer engagement data to predict the next best step, making outreach more efficient. This approach paired with meeting consumers in the digital channels they prefer can improve recovery rates and help offset the cost of collections. 

Myth 2 Status: Busted – A digital-first approach to collections has the potential to help businesses recover more. Also, the increased cost to collect and agency fees often associated with traditional strategies aren’t present when the right digital-first approach is used. 

*There is white-label debt collection software that’s designed to help your internal collections strategy spend less to collect more through personalization at scale. Explore our sister company Retain to learn more today.

Myth 3: Consumers Find Collections Through Digital Channels Untrustworthy

A CNET survey found that a staggering 96% of U.S.consumers receive at least one scam message a week. There’s been a stark rise in financial scams, and many of these messages come through digital channels. This has led more businesses to think that consumers will likely find any collections outreach through digital channels untrustworthy. While this rationale makes sense, the truth is that many consumers prefer digital communications. 

Digital communication channels are key to omnichannel strategies that put consumers first. An omnichannel collections strategy means using multiple, often complementary channels to contact consumers in their preferred way. One of the key channels is email, which has gone from a “nice to have” for debt collection outreach to a necessity. In fact, surveys show that roughly 59.5% of consumers prefer to be contacted through email first. And when a business reaches out to a consumer through their preferred channel, it can lead to a more than 10% increase in payments. 

While more consumers are turned off to direct phone calls, businesses can still get attention on their device. Around 65% of consumers want their billing, payment and account information sent to them through text. A major reason consumers are gravitating more towards digital channels is because it empowers them to address the debt at their own pace 

Myth 3 Status: Busted – Even though financial scams have made consumers more careful with digital communications, their preferences for those channels still hold strong. By honoring those preferences, debt collection strategies can reach higher performance while improving customer satisfaction. 

See How a Digital-First Approach to Collections Could help Your Business

Even though we covered three of the most common digital debt collection myths, there are plenty more to navigate. By knowing the full capabilities of digital channels, your business can improve its collections strategy. The good news is that you don’t have to figure this out alone. 

TrueAccord is an industry leading debt collection agency that’s powered by patented machine learning to deliver a consumer friendly experience and improve collection results. Connect with our team today to unlock the potential of a digital-first approach.

Is Cold Calling Dead for Debt Collection?

By on October 1st, 2025 in Customer Experience, Machine Learning, Product and Technology
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As a strategy, cold calling for debt collection has plenty of roadblocks like caller ID, spam filters and number lookups that make success difficult. Many experts in the industry are wondering if cold calling is about to enter an ice age because of a feature in Apple’s new IOS 26 update. It’s estimated that there are 130 million iPhones in the US, and many of them are about to have advanced call screening software. 

What does this mean for the debt collection industry? How does this new update work and put more power back with consumers? Join us as we break down this newest barrier to cold calling and what it could mean for businesses looking to maintain or improve their collections. 

How Does Apple IOS 26 Affect Cold Calling?

Before we dive into the industry impact, let’s take a minute to explain how Apple’s IOS 26 update affects cold calling strategies. This software update is giving iPhones 11 and newer call screening software as part of Apple’s push for higher consumer privacy. 

When a consumer receives a cold call, the caller will be prompted to say their name and reason for contacting them. The consumer will see a transcript of the caller’s response on their phone screen. From there, the consumer has the option to accept or ignore the call. By default, iPhones will screen phone calls from unknown and unsaved numbers. The goal of the feature is to protect more iPhone users from scam and unwanted sales calls that have seen a dramatic rise in the last few years. 

Is Cold Calling Really Dead in Collections?

Is cold calling for debt collection really dead? The answer depends on who you ask. Experts in the industry are split into two camps: 

  • Cold Calling is Dead for Bad Calls: Many businesses and experts in the debt collection industry say that the strategy is only dead if it’s not targeted, informed by data and/or compliant. In their view, this update is the death of “bad” cold calling. The new iPhone screening process is also seen as an opportunity for collectors to refine their elevator pitch for more effective cold calls. 
  • Cold Calling is Dead For Good: Others in the industry pose that since so many more consumers now have access to easy call screening, cold calling is no longer viable. They predict that this will be the catalyst for the vast majority of collection strategies moving to digital communications.

To answer the original question, it’s unlikely that cold calling will go away entirely. There will be instances where a cold call is the best chance at reaching certain consumers. Even though it’s not the majority, some people still prefer to be contacted by phone. Cold calling won’t be wiped out completely, but collectors need to consider shifting to an omnichannel approach for effective debt collection.

Why Cold Calling for Debt Collection Is Seeing a Downturn 

Cold calling isn’t dead, but it’s no longer the most effective collection strategy available. There are three core factors that are contributing to the decline of cold calls: 

  1. Consumer Privacy Movement: Consumers want more privacy than ever before. The rise in scams and algorithm data gathering are just some of the factors contributing to this movement. Phone calls are perceived as one of the most personal communication channels, and a cold call often feels like an invasion of privacy. 
  1. Strict Regulations: Over the last few years, the regulations around outbound calls for debt collection have gotten more strict. For example, Regulation F’s 7 in 7 rule prohibits collectors from calling more than seven times in a 7 consecutive day period. It’s increasingly complicated to compliantly cold call customers, and code-based compliance available with digital communications offers less risk for businesses. 
  1. Shifts in Communication Preferences: Most consumers want to be reached through their preferred channels. And 59.5% of consumers prefer email to be the first channel a business uses to contact them. If you contact a consumer through their preferred channel, it can lead to a 10% increase in payments. Consumer communication preferences have already gone digital, and traditional options like phone calls become less popular each year. 

Cold Calling Can Live On in Omnichannel Strategies

Cold calling for debt collection is going to live on, but the strategy needs to evolve and become part of an omnichannel approach. Introducing digital communication channels to your collection strategy helps you engage customers with the right message, at the right time and through the right channel. 

An omnichannel approach gives your collections efforts the ability to service more of your customer portfolio and easily scale if more accounts are added. It’s a more streamlined method compared to using segmentation or propensity to pay models in outbound calling that limit the number of people you’re able to reach at one time. 

Many debt collectors are also shifting to integrate payment portals into their collections strategy. A payment portal gives consumers the ability to schedule payments at their own convenience, which helps improve repayment rates. It also streamlines operations and reduces compliance concerns since agents no longer have to call-to-collect. 

* A core part of many omnichannel collection strategies are email and SMS. If you’re curious to see how your business could automate digital channel in-house, our sister company Retain can help. Learn more about white-label debt collection software today.

Personalize Your Collections Strategy with an Omnichannel Approach

The process of shifting your collections strategy to an omnichannel approach doesn’t have to be a challenge. TrueAccord’s digital first approach to debt collection can efficiently and compliantly scale to any volume of delinquent or defaulted accounts. Are you ready to maximize your collection results with a digital first approach? 

Contact our team today and schedule your consultation. Together, we can build a personalized experience that leads to better collection results.    

One Size Doesn’t Fit All in Debt Collection

By on July 25th, 2025 in Customer Experience, Machine Learning, Product and Technology
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What if there was an ice cream shop that only sold vanilla? Just one flavor, offered in one size without any extra options. How much business do you think this shop would get? We know that it’s probably not a profitable business model because it contradicts one of the most important trends seen across countless industries – honoring customer preferences. 

In the debt collection industry, there’s a lot of businesses out there practicing the “single flavor” or one-size-fits-all approach. Customers only get sent notices through one or two communication channels and have a single type of payment option. 

Debt collection solutions shouldn’t be one-size-fits-all. If you’re interested in learning how to improve the debt collection customer experience, it starts with finding ways to accommodate more preferences. 

Why Isn’t Personalization More Common in Debt Collection Solutions?

It’s no surprise that consumers have personal preferences that impact their engagement with businesses. One of the most important preferences is how they want to be contacted. While phone calls used to be the go-to method for debt collection, in today’s digital world any unknown number is usually automatically labeled as spam in a person’s mind. 

In the debt collection industry today, there’s no shortage of communication channels. So why do so many debt collection companies go for a one-size-fits-all approach through a more outdated method like phone calls or physical mail? There’s a few challenges that can help explain it: 

  • Content Library Creation: The process of building and managing an extensive digital content library for debt collection isn’t easy, especially given compliance requirements for all the different channels like email, text, self-serve portals. This process requires writers and content experts who understand debt collection solutions and the pain points consumers experience.
  • Lack of Resources: Many debt collection companies lack the resources to build out the strategy and operations for multiple or digital channels.  
  • Not Leveraging AI: Without AI and machine learning, it’s much more challenging to figure out what type of content and channel resonates with each individual and implement customized communications at scale

Just like the scenario we listed above, only offering “one flavor” usually leads to less effective debt collection solutions, lower performance and unsatisfied consumers. 

Improve the Debt Collection Customer Experience with Personalization

The main reason to take a personalized approach to debt collection solutions is to help more consumers repay debts and reach greater financial health. To do that, consumers need to engage with debt collection messages. For starters, 46% of consumers expect companies to reach out to their preferred channels. When this happens, companies see a 10% increase in payments from delinquent customers. But preferred channels aren’t the same for everyone.

With financial matters (including debt collection and bill notifications), people increasingly prefer digital communication channels. In fact, 59.5% of consumers list email as their first contact choice for communication from a company. When you meet someone’s expectations, payment reminders are more likely to be noticed and acted on. While honoring a consumer’s preferred channel is important, it’s not the only customization that can make an impact. 

*Curious to see how it’s possible for your internal collections strategy to achieve personalization at scale in digital channels? TrueAccord’s sister company Retain offers white-label debt collection software so you can spend less to recover more.

Customizing Content Gets Results

It’s common for debt collection companies to have a few sets of communication templates, but the content itself doesn’t change much. But with an eye toward data-driven changes and testing, there’s always an opportunity to adjust content to catch attention and better engage consumers. 

For example, TrueAccord had a client that wanted to improve the performance of debt notification emails. The TrueAccord team created emails that included animated GIFs, an idea supported by machine learning data. This strategy led to a 6% increase in click rates and a happy client that became excited about future tests.

The best debt collection solutions treat content as a living strategy. That means updating content templates on a regular basis and testing new ideas to keep up with shifts in customer preferences. One crucial element that makes this possible are AI tools that measure effectiveness and ensure the content is compliant. 

Personalization is Better with an Omnichannel Approach

An omnichannel approach to debt collection solutions means leveraging a combination of communication channels for consumers to engage with. Every channel like email, text, self-serve portals and more are integrated into a consumer-centric approach. These channels work together to uncover the best option for each individual. 

Beyond simply adding digital channels, companies need to adopt a customized omnichannel debt collection approach to engage consumers through preferred channels. At TrueAccord, this is achieved through a patented machine learning engine called Heartbeat. Consumer engagement with Heartbeat is automated and optimized by data-driven algorithms that decide what timing, message and channel will be most effective for each individual person. 

By finding the right timing, message and channel, your debt collection solutions won’t just help more consumers engage in debt repayment, but you’ll recoup more in a cost-effective way. 

See What TrueAccord’s Debt Collection Technology Can Do

Does your business want to collect more from happier customers? At TrueAccord, we use AI tools to offer a personalized and self-serve experience that honors consumer preferences. To learn more about our industry-leading results, connect with our team today!