Alumni News– January 28, 2015

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgEasier Finance features Azimo in its list of the top money saving apps for 2015.
  • The Credit.com Blog writes about how Global Debt Registry can help consumers track down old debts.
  • Sonavation hires Karl Weintz as president and CEO.
  • Jim Siegienski of iQuantifi wins “CTO of the Year” award from 2014 Nashville Technology Council.
  • Fenergo earns top 100 ranking among risk technology providers according to Chartis.
  • CheBanca! to deploy digital banking platform from Backbase.
  • Insuritas to provide Tulsa FCU with insurance agency solution inside Tulsa’s existing insurance agency platform.
  • My Bank Tracker lists Expensify as 1 of 6 best apps for preparing your tax return.
  • Intuit and Uber partner to enable Uber drivers to import their earnings into the QuickBooks software.
  • ThreatMetrix enhances multi-factor authentication solutions for financial services institutions.
  • Credit Sesame and Identity Theft Council bring identity theft awareness to 100 cities.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Alumni News– January 20, 2015

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgACI Worldwide partners with ATM provider LD Systems.
  • Nutmeg hires former Google financial search ad specialist, Scott Eblen, as Chief Product Officer.
  • Azimo customers can now send money to another eight West African countries.
  • The American Bankers Association endorses PFM and BFM platforms from Geezeo.
  • New app from no-fee, no-branch BankMobile is powered by Malauzai Software.
  • Wall Street Journal’s top tools for retirement planning features BillGuard, blooom, HelloWallet, MaxMyInterest, Mint, True Link Financial, and Yodlee.
  • Check out our latest CEO interview: Global Debt Registry CEO Mark Parsells Brings Transparency to Debt Ownership. 
  • Top Image Systems and SQN Banking Systems deploy signature verification project at Singapore bank.
  • TechVibes highlights Trulioo founder, Stephen Ufford.
  • Integrity now offers CardFlight mPOS to its merchant customers.
  • Credit Karma now has more than 35 million members, accounting for 16% of US population with an open credit profile at a major bureau.
  • Continuity named one of Connecticut’s 2015 Best Places to Work.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Global Debt Registry CEO Mark Parsells Brings Transparency to Debt Ownership

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FinovateFall 2014 alumGlobal Debt Registry operates in what may be the final frontier of finance: charged-off consumer debt. When consumers get into financial trouble, they find themselves not just battling debt, but struggling to deal with often aggressive – and sometimes unscrupulous – debt collectors.

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Founded in 2009 and headquartered in Wilmington, Delaware, Global Debt Registry has developed technology and processes that help both individuals and financial institutions track the chain of title for charged-off consumer debts. This is key in making sure that debts are accurately connected with both debtors and debt owners, bringing transparency and efficiency to an arguably under-regulated space.

 

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“Global Debt Registry believes there is a better way to manage charged off accounts,” said Global Debt Registry CEO Mark Parsells in response to emailed questions. “We enable large enterprises to securely store and grant access to data and documents on charged off accounts to facilitate better collection outcomes, whether place with collection agencies or sold.”
 
Read the rest of our conversation with Mark Parsells below.

Finovate: Global Debt Registry’s primary market is charged off debt. How big is this market and what are its growth prospects going forward?


Mark Parsells: There is over 100 billion dollars of charged off debt created every year. That number isn’t tapering, but steadily growing.
Historically, the market was dominated by credit card debt, which remains a major issue. But now medical debt and student loans are presenting new issues for the industry and consumers. As highlighted by the Consumer Financial Protection Bureau (CFPB) in late December, there are over 43 million Americans that have delinquent medical debt on their credit reports. This lack of understanding and transparency will continue to create issues when attempting to manage debt for the debt owner, collectors, and for consumers.
The market is ripe for digital transformation and we have a tried and tested solution to address these issues.
Finovate: The New York Times published a fascinating expose on what they called “the dark, lucrative world of consumer debt collection.”  What do you think is the key takeaway from that story?
Parsells: Jake Halpern, the author of Bad Paper: Chasing Debt from Wall Street to the Underworld, highlighted many of the issues that result from the lack of digital governance. The open sharing offline of consumer data has inevitably led to abuses. One major highlight for us was the fact the author suggested a central repository of debt information, or a global debt registry, is necessary to bring the debt collection space out of the shadows.
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Finovate: What do financial institutions do right now to establish debt ownership? How difficult is the process.
Parsells: Currently there is a fragile, inefficient model known as the “daisy chain” process. Debt information is passed around to debt buyers, agencies and legal collectors, which is insecure, inefficient and frequently without real hard information in support of the claim.
As debt information is passed around, the integrity of the information is lost. Debt collectors and agencies don’t have access to the right information, as original contracts and account statements rarely flow during this change in debt ownership.
When contacted by a debt collector, consumers will typically first attempt to contact the original creditor. But those lines of service are usually cut off, as now the debt owner is a separate entity, with no records to offer clarity to individuals. As a very underinvested area for banks, there is no centrally common digital infrastructure across the industry to support the management of charged off accounts and tracking of debt ownership and placement, leading to an inefficient and high-risk process for financial institutions.
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Finovate: Who in the financial services industry is most in need of the kind of services Global Debt Registry provides? Who do you target?
Parsells: Global Debt Registry addresses the needs of large creditors, debt buyers, and collection agencies that support and service the $3.4 trillion consumer debt market in the United States, including credit cards, auto loans, home equity, student loans, and consumer finance/retail loans.
We provide data integrity services for the nation’s top banks and debt owners to track and communicate information about debt. Our solution helps large and small creditors looking for a better way to manage debt and ensure fair treatment of consumers.
Global Debt Registry also provides transparency and resources to risk and compliance officers, as they seek to manage the overall risk factors of the mounting debt space. Compliance officers like the solution, but so do those business leaders responsible for the P&L and customer experience.
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Finovate: How difficult to navigate are regulatory and compliance issues in this industry? Do regulations make it harder to get the transparency people want?
Parsells: Debt collection rules were mainly drafted 30 years ago, prior to much technology and the invention of the debt market. Historically, this industry has been very under-regulated, and only during the last year or two has there been an increase in attention around these issues.
The formation of the Consumer Financial Protection Bureau has created a clear focus on creating more transparency for consumers, ensuring strong data integrity and regulations that more clearly set guidelines for fraud and inefficient debt tracking. The FTC and OCC have also added direction, along with State Attorneys General such as New York, taking actions against debt buyers for consumer abuses. Our digital solution addresses these regulatory concerns.
Fino
vate: What is the technological challenge of making all this data and information accessible? What was the most difficult component?
Parsells: The main challenges are human rather than technical. Secure cloud based technology enables large volumes of data to be stored, analyzed, shared, and managed more efficiently than ever. The challenges fall across the whole industry, requiring collaboration and leadership across banks, the debt buying and collection industry. Some parties support the absence of transparency and governance that manual processes facilitate. Convincing a siloed, paper based ecosystem to adopt technology requires patience.
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(Global Debt Registry on stage at FinovateFall 2014, left to right: Todd Veale, Chief Marketing and Product Officer; Charles Moore, Chief Commercial Officer)
Finovate: What is the range of services that Global Debt Registry provides to FIs?
Parsells: Global Debt Registry believes there is a better way to manage charged off accounts. Consumer debt is one of the last remaining financial asset classes not to systematically electronically record transactions, leading to inefficiencies, risk, consumer confusion, and increasingly regulatory attention.
We enable large enterprises to securely store and grant access to data and documents on charged off accounts to facilitate better collection outcomes, whether placed with collection agencies or sold.  Extending the customer lifecycle to embrace charged off customers will become an increasingly important area for FIs over the next few years as a result of both regulation and brand impact. We solve this problem for them with Debt Lookup, our free debt validation application.
Finovate: What’s next for Global Debt Registry? What new initiatives are in the pipeline?
Parsells: We are planning to launch new Global Debt Registry services this year to continue enhancing how the organizations we work with track and manage debt. We are also planning on adding new asset classes, support and services that will anticipate increasingly complex regulatory standards. The OCC now requires banks to coordinate debt sales and placements across asset classes, representing integration and coordination complexities we are helping with. The line between debt sales and placement with collection agencies will continue to blur, hence the need to support both. We are very excited about the stage of evolution in the market and the growing appetite for digital evolution and governance.

Watch Global Debt Registry’s FinovateFall 2014 demonstration here.

Global Debt Registry Raises $7 Million in Series A Round

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Global Debt Registry has secured $7 million in Series A financing. The company plans to use the new capital to help drive sales growth and expand operations. The latter includes both increased marketing as well as a move into new asset classes in the consumer debt market.

The individual investors were not immediately disclosed.

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Global Debt Registry serves as a clearinghouse for the debt market, providing definitive and independent information on debt ownership. The company’s technology provides an account level “chain of title,” bringing standardization, transparency, and digitization to the market. 
The company also provides a consumer solution, Debt Lookup. Consumers can use this resource to see who actually owns their debt, useful to make sure that collection agents looking for debt repayments, for example, are legitimate. Consumer Reports, in its look at the technology called Debt Lookup “promising” as a way to deal particularly with “zombie debt” that consumers often believe has already been paid off.
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Recently profiled in American Banker, Global Debt Registry is – in part – fintech’s response to the world described by Jake Halpern in his book, Bad Paper: Chasing Debt from Wall Street to the Underworld. Bad Paper describes just how perilous the unregulated consumer debt market is, and how unscrupulous characters can take advantage of unsuspecting debtors. This has led Halpern to say that a debt registry is a “very common sense idea” and that “it’s kind of mind-boggling in some ways that it hasn’t been implemented already.”
The team from Global Debt Registry agrees. Quoted in American Banker, Global Debt Registry CEO Mark Parsells expects the dollar volume of charge-offs and the number of people contacted by third-party bill collectors both to grow significantly over the next decade. “Particularly with the growing balance after insurance in medical debt,” he said.
Founded in 2009 and based in Wilmington, Delaware, Global Debt Registry made its Finovate debut at FinovateFall 2014 in New York. Stay tuned for our CEO interview with Global Debt Registry’s Mark Parsells coming next week.

Alumni News– January 6, 2015

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgAccounts Receivable Management takes a look at Global Debt Registry.
  • Moven launches budgeting app on Motorola Moto 360 and Samsung Gear smartwatches.
  • TSYS names Thomas Boyer president of TSS Merchant Solutions.
  • Paymentandbanking.com recognizes Kreditech as FinTech Startup of 2014.
  • St. Louis Biz Talk quotes Malauzai Software’s Robby Ganer in a column on what to expect from mobile banking this year.
  • Gift cards from CashStar to be integrated into eBay Marketplace and PayPal Digital Gift store.
  • Fidor Bank plans for U.S. launch with undisclosed local bank partner.
  • Silicon Republic profiles senior Java developer at Fenergo, Sheila Fernandez.
  • FinovateEurope early bird deadline extended through this Friday, January 9. Lock in your spot and we’ll see you in London.
  • Ukraine-based Settle launches restaurant pre-order app in San Francisco.
  • Personal Capital now manages $1+ billion in investments for clients. It tracks $120 billion for 700k registered users.
  • Northpointe Bank hires Insuritas to power its insurance agency.
  • P2Binvestor names Krista Morgan CEO.
  • Bluefin Payment Systems announces its PCI-validated, point-to-point encryption solution, PayConex, is now certified for mobile payments.
  • Jilliene Helman, founder and CEO of Realty Mogul, earns a spot on Forbes’ list of “30 Under 30 Rising Stars of Enterprise Technology.”
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Alumni News– January 5, 2015

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgCredit Karma to offer Equifax credit scores and reports.
  • American Banker profiles Global Debt Registry.
  • Silicon Valley Tech News interviews Ayasdi CEO Gurjeet Singh.
  • Central Florida Future features Toshl Finance in its look at smartphone apps.
  • Burning Man using Coinbase to accept Bitcoin donations.
  • In case you missed it while you were in Holiday Hibernation: A look back at the 28 Finovate and FinDEVr Best of Show winners of 2014.
  • NICE Systems releases voice biometrics-based Real-Time Fraud Prevention solution.
  • Airbnb, Boxed, Munchery and YPlan enable Braintree’s One Touch buying experience.
  • Authentity blog names ThreatMetrix and Entersekt as authentication companies to watch in 2015.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Alumni News– November 25, 2014

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgFenergo wins Outstanding Achievement in International Growth award from Irish Software Association.
  • Global Debt Registry launches Debt Lookup, a free online service for consumers.
  • Eastern University chooses ACI Worldwide to power its payment plan and tuition payments.
  • Monitise, FreeAgent, True Potential, and Nostrum Group earn spots in Deloitte UK Technology Fast 50.
  • Pymnts.com: PayStand takes eChecks to the next level.
  • Finovate Debuts: PayItSimple’s Financing Tool Gives Customers Extra Time to Pay for Goods, Interest-Free
  • Pymnts considers Mitek’s growth and future plans.
  • ProfitStars launches behavior-driven marketing capabilities with Kernel.
  • Western Heritage Credit Union hires Insuritas to install their insurance agency for the CU’s 10,000 members.
  • Actiance announces enhanced voice recording for Microsoft Lync 2013.
  • Billhighway takes “Triple Crown” in Workplace Culture Awards with #6 rank on Crain’s Cool Places to Work List.
  • Temenos positioned as a leader in Gartner’s Magic
    Quadrant for International Retail Core Banking.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Global Debt Registry Standardizes and Digitizes Title Tracking for Banks

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This post is part of our live coverage of FinovateFall 2014.

Our next presenter is debt market clearinghouse, Global Debt Registry. Global Debt Registry provides the definitive independent source of debt ownership information.

“Global Debt Registry’s client application empowers banks and debt buyers with a revolutionary suite of cutting edge controls that support the sale or placement of distressed consumer receivables. Debt owners can download account reports and request legal affidavits to demonstrate proof of ownership. Members have access to a customizable dashboard to analyze, track, and control relevant delinquent accounts. Our consumer application is the first-ever consumer resource empowering consumers to access account information and ownership history to avoid fraud, costly errors, and cases of mistaken identity by independently validating claims from a debt collector.”
Presenting: Todd Veale (Chief Marketing & Product Officer) & Charlie Moore (Chief Commercial Officer)
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Product Launch: September 2014
Metrics: 10-20 employees, 45 Financial Institutions Members with 250,000+ consumer accounts registered to date
Product distribution strategy: Direct to Consumer (B2C), Direct to Business (B2B), through financial institutions, through other fintech companies and platforms
HQ: Wilmington, DE
Founded: 2009