Global Debt Registry Teams Up with TransUnion to Better Serve Debt Industry

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In the race to provide better information to all the different parties in the debt-ownership and -collections industry, Global Debt Registry has just hitched itself to a rocket.

Courtesy of a new partnership, TransUnion will begin marketing the services of Global Debt Registry. TransUnion is a major provider of information for collections departments at large banks and other financial institutions, and is ranked among the top three credit bureaus in the world.

“The ability to team up with GDR to offer our clients GDR tools to manage account information post charge-off—and to support validation of a given debt—is a natural extension to our core services offered to financial institutions, debt collectors, and consumers,” said Peter Ghiselli, vice president in TransUnion’s specialized risk business unit.

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Above: Global Debt Registry Chief Commercial Officer Charles Moore demonstrated his company’s technology at FinovateFall 2014 in New York.

Mark Parsells, Chairman and CEO of Global Debt Registry, pointed to TransUnion’s leadership role in providing data and information to the collections community. “GDR and TransUnion’s mutual customers will benefit from our collaboration, which offers a broader market of debt buyers, collectors and financial institutions to reduce costs and risks, improve transparency and efficiencies to the debt-ownership industry.”

Founded in 1968, TransUnion serves more than 45,000 businesses, and more than 500 million consumers in more than 30 countries around the world. The company has been active in the direct-to-consumer market since 20o2, followings its acquisition of TrueCredit in 2002.

Global Debt Registry is a clearinghouse for the debt industry, giving debt owners, collection agents, financial institutions, and consumers a new level of transparency and insight into the “chain of title.” This transparency makes it easier for those working in the industry to accurately identify the true owners of debt for collection purposes. Through a consumer portal, Debt LookUp, Global Debt Registry’s platform can be used, for example, to ensure that repayment on a debt is being made to the correct individual.

Global Debt Registry made its Finovate debut at FinovateFall 2014. The company was founded in 2009, and is headquartered in Wilmington, Delaware. GDR announced a $7 million Series A round in January. Read our interview with CEO Parsells from the beginning of the year.

Finovate Alumni News

On Finovate.com

  • Britain’s Second Largest Mobile Wallet, Yoyo, Pulls $10 Million in Funding
  • Mint Bills Brings Mobile Billpay to One Million Customers of Quester Gas
  • Global Debt Registry Teams Up with TransUnion to Better Serve Debt Industry

Around the web

  • Bento for Business founder and CEO weighs in on the future of tech accelerators. See Bento for Business at FinovateSpring 2015 in San Jose next month.
  • Global Market Solutions joins the Misys InFusion Partner program.
  • TechCrunch column on fintech regulation features Lending Club, Motif Investing, Betterment, OnDeck, Wealthfront, Prosper, and WealthForge. Join WealthForge in San Jose for FinovateSpring 2015.
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  • Paybefore selects InComm as a 2015 Paybefore Awards Europe winner in the Change Agent of the Year category.
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  • Bank Innovation’s look at Voice Assisted Banking features Interactions.

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.

Finovate Alumni News

On Finovate.com

  • Finovate Debuts: LockByMobile Lets Cardholders Lock Out Fraud
  • ZenPayroll Raises $60 Million in Round Led by Google Capital
  • FinovateFall 2015: Ladies and Gentlemen, Launch Your Applications!
  • Finovate Debuts: Pirean’s “Access: One” Keeps Access Management Simple

Around the web

  • Feature on automation in debt collection highlights Global Debt Registry and True Accord. See True Accord at FinovateSpring 2015 in San Jose.
  • Ripple adds dropdown customizations to its price charts.
  • Huffington Post: Trulioo, Making Trust Online an Option.
  • Callcredit Information Group partners with Trulioo. Check out Trulioo at FinovateSpring 2015.
  • GMC Software Technology Named SIIA Software CODiE Award Finalist.

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, February 13, 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.jpgDigital Insight to offer its customers EyePrint ID, courtesy of new agreement with EyeVerify.
  • Global Debt Registry unveils new asset classes, new resources, and new UI in brand refresh.
  • Azimo extends its money-transfer service to Thailand.
  • FinovateEurope 2015 Best of Show Winners announced.
  • Fast Company features Ayasdi in its list of the Top 10 Most Innovative Companies of 2015 in Big Data.
  • 22 Finovate alums nominated for 2015 Pymnts innovator awards. Cast your vote here.
  • Lincoln Savings Bank hires Insuritas to launch insurance agency for its customers.
  • FreeAgent partners with Appointedd to simplify small business bookings.
  • Bank Innovation takes a look at the widespread use of Xignite APIs among fintech startups.
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 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.
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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.