Predictive Playbook: Debt Consolidation

Don’t really know whom to reach out to and what to say for a potential refinance? Don’t worry. We’ve crafted a playbook and strategy that is specifically outlined for Predictive Cash Out and Debt Consolidation scenario alerts that we offer here at MonitorBase. 

What are Predictive Cash Out or Debt Consolidation alerts?

• These alerts occur when a contact in your database has a high probability of being in the market for some sort of equity product in the short term.

What criteria does the contact need to meet?

• The contact must meet the minimum credit score set by your organization AND qualify for ONE of the following scenarios:
• The borrower has a high intent score for a mortgage transaction and has had credit inquiries. There may be interest in a cash-out to access home equity. 
• The borrower has had their credit pulled for a HELOC in the last six months. 
• The borrower has an open HELOC or a second mortgage and a low estimated CLTV. This is a great opportunity to send a comparison showing their net monthly savings if they were to consolidate the first and second. 
• The borrower might be considering selling in the coming months. Many buyers take out a second mortgage to complete home improvements and then list the home for sale. Listings are your friends and will help your referral partners as well!

The goal of our Predictive Scenario Alerts is to get AHEAD of the curve and alert you before the contact has an inquiry with a competitor. 

There are three probably outcomes when you reach out to the contact after you’ve been alerted:

1. They aren’t in the market.
2. They are thinking about it but are not ready right now— they might be interested soon.
3. They are interested in moving forward. 

You know that you will likely be reaching out to one of these three sets of people, but you’re not quite sure which category the contact falls into. No worries. Below is your script for your initial outreach. Modify it to your specific scenario and utilize the template to capture more opportunities! 

Don’t forget that it’s a numbers game and will likely take time to build up this process. Repeat, optimize, follow up, and you will start seeing consistent results. Similar to compound interest, the longer it goes, the more your return will increase, 

We have playbooks and scripts for ALL of our alerts. Our team is happy to set up a training session for you and your teams if you need further assistance, 

Script Example:

This script is one example, feel free to make it your own and communicate the message in your own words. 

Hi John, It’s William with MonitorBase. 

Hi (First Name),

It's (Your Name) from (Your Company).  

Make the Connection: At this point, you want to remind them of how you know each other.  This will change the tone of the conversation from a cold call to a warm call.  For example, if you helped them with financing to buy a home 2 years ago, bring that up.  If this is a contact that an agent provided to you, let the client know the connection, for example:

We worked together a couple of years ago to purchase your home...

OR 

I work closely with (Agent Name)'s clients...

OR

I worked for you at Company XYZ in 2012...  

OR

You taught my daughter Madison in the 2nd grade…

You get the picture: Now the conversation has relevance and connection, so now it's time to start talking about them…

You may have seen the letter or email from me recently, my system periodically reaches out to qualified clients that may be in the market, and your name popped up so I thought I would just give you a quick call and see if I could answer any housing market or mortgage related questions for you.  

Now let them talk, and ask follow-up questions that will get them talking about their future plans, for example... 

Have you been looking at any new homes or thought about a move anytime in the future?

Have you looked into the value of your home, or would you be interested in having (Agent Name) give you a good idea of your home value?

Give Value: Let the conversation continue on from here, with you asking questions about them.  Let them tell you how you could help them.  Remember, selling and buying a home is a complicated process.  All you are looking for in the initial call is if they have any intentions of selling in the coming months.  People don't want mortgages, they want homes.  The more value you can give, in the form of insight or answering questions, the more likely they are to open up and have a meaningful discussion.   

Differentiate Yourself: Talking about rates and terms can really put people on edge and make them less likely to make a decision. Use tools like MBS highway or others to help convey the value here, simple, visual, and easy to understand. Show them how you are unique compared to other lenders and why you like helping them find their dream home.  

Possible Next Steps:

Depending on which of the three scenarios turns out to be the case: 

1. They are interested and moving forward in the short term:
1. Answer any questions and get them a comparison so they can easily understand the benefit.  
2. Give them an idea of their value and ask if they have made any recent home improvements.  
3. Keep in touch often through the process, doing a transaction like this is a complex decision with a lot of math, help them maintain motivation by 
4. keeping the end goal top of mind. 
5. The homeowner isn't quite ready but is considering selling in the next 4-8 months: Answer any questions they have and tell them you will follow up and help them get pre-qualified before their house goes on the market. If they don't already have a listing agent, ask them if it's ok if you introduce them to a good agent you know and trust! The sooner you do this, the less likely they will find a listing agent you don't know.
   
   
2. They are thinking about it but are not ready right now, maybe in the medium term will be interesting. 
1. If nothing else, follow up with an email thanking them for the time.  Now that you got them thinking, you want it to be easy to find your contact info if they do want to discuss further. 
2. Schedule a follow-up in your calendar for the next follow-up, especially if they said they might be in the market to sell in the next year. 
3. If they are thinking of selling and they want to connect with an agent, make sure to make the introduction!  
4. If they asked for follow-up information, provide that quickly and let them know you will check back after they have reviewed it.  It's up to you to always take the next action.  
3. They aren't in the market 
1. They are a person, there are other things you could talk about and connect on – Don’t rush off the phone or avoid conversation: connect, and they will remember. 
2. Then, thank them for their time.
3. Set a nurture campaign in your CRM of choice, doesn’t need to be every week, maybe just every few months. 

If they don’t answer: 

1. Leave a voicemail using the above script as an outline. 
2. Send a Text, if you can, with similar messaging as the voicemail. 
3. Send a follow-up email. 
4. Set a reminder to try again in 1-2 weeks