As the festive season becomes a hazy distant memory - the aftermath of the annual spending binge leaves many in a state of forced financial detox. Tattered credit cards, wallets as barren as the Sahara desert and New Year’s resolutions that slowly dwindle from memory, make recovering from the overindulgence of the season that much more of an uphill battle. Days seem to grow longer and the time until the next pay day seems ever unreachable. For many, the impulsive trolley filling binge encouraged by store radio Christmas carols and the merry “ho, ho ho’s” of fake Santa’s will once again leave them and their creditors with severe financial indigestion over the upcoming months.

As a credit provider you are presented with two credit applicants. Their account history, financial position, affordability and personal details virtually mirror one another. But imagine if you could view the stability of their employer, imagine if you knew which businesses their employer had links to – would it influence your decision on who to grant credit to?

The Consumer Protection Act (“the CPA”) came into working on 1 April 2011 and has a huge impact on the way that companies can promote and market their goods and services to their clients. One of the issues that businesses must take note of is that they are not allowed to contact consumers (whether it is a client or a potential client) for the purpose of selling or offering products or services to them during the prohibited times as set out in the CPA.

Effectively reaching prospects has become more difficult than ever.

The days of simply placing a full-page advert in the Sunday newspaper and waiting for customers to rush in are long past.

Consumers are bombarded by millions of adverts and e-mails everyday and are “tuning out” or even “skipping” your messages more and more. With new media evolving constantly, it’s no wonder companies are struggling to turn raw leads into actual prospects and customers.

Attend the 10th annual SAFARI Into the Ethics of Credit - a revolutionary platform to share industry news, views and network with colleagues.

It is unfortunate that all too often it is human nature to look for a quick fix or cure to a problem when simple preventative measures and early detection could have easily prevented the crisis. Much like in the medical industry – in loan management prevention is the best solution to ensuring your portfolio is “healthy” and that loans at risk are quickly identified and dealt with before they infect your business’ overall financial health.