Lease Termination Process Improvements

Client Need: The automobile finance division of a $30 billion regional bank was concerned that some of its processes were inefficient and ineffective and sought assistance to improve its performance. Specific areas of concern included billing, collection, and recovery of ‘end-of-term’ and early terminated lease contract processes.

Solution: BenchMark Consulting documented the current operating environment including organization, systems, policies and procedures. The client’s current performance was compared to that of industry peers in the Benchmark database. Analysis of this data resulted in recommended key performance metrics for increased billing, collector, and ‘early-term’ and ‘end-of-term’ effectiveness.

Results: Annual savings of $1.8 million were identified and action plans developed with management to capitalize on savings.