What happens after collections?
Our collections partner attempts to recover your funds for up to 4 years via phone calls and letters sent to the Borrower’s home. The loan is considered defaulted after 90 days, at which point the Borrower may be reported to the credit bureaus with a derogatory mark, which could negatively affect their credit score for 7 years.
The Borrower will also be banned from using SoLo until the debt is paid in full.
If you have any further questions about the collections process please contact our support team.
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What happens when a loan goes to collections?
During the first 90 days before we send an account to our collections partner, SoLo will make debit attempts and send communication to the borrower informing them of the money owed. If payment is not received within 90 days of the due date, the ...
Can I borrow if I’ve been in collections before?
Unfortunately, if you have been sent to collections due to failed repayment on any loan, regardless if the loan has been paid back or not, you are no longer eligible to use the SoLo app. Here at SoLo, we are looking to build a thriving and respectful ...
As a lender, will I be contacted if a borrower is sent to collections?
Yes, you will receive an email informing you that a loan you funded is going to collections. If our internal collections team or our collections partner is successful in collecting the debt that is owed to you, SoLo will transfer the funds ...
Will the Borrower be able to take out another loan on the SoLo app if they still owe?
No. All Borrowers will be suspended from using the SoLo app until their loan is repaid. If the loan is sent to our collections partner, the Borrower will not be able to return to the SoLo app. Here at SoLo, we are looking to build a thriving and ...
As a lender, will I be contacted by your collections partner if the borrower gets sent to collections?
No, you will not be contacted by our collections partner as they are collecting the funds on behalf of SoLo. If they collect anything from the borrower, SoLo will transfer the funds immediately to your account.