Kinum provides compliant, member-centric debt recovery for credit unions. Utilizing a low-cost, fixed-fee early intervention model alongside performance-based contingency recovery, Kinum resolves overdrawn share accounts, credit cards, and auto loan deficiencies out of court—recovering charged-off capital while protecting member relationships and maintaining NCUA compliance.
- Are you a credit union dealing with rising delinquencies on auto loans, credit cards, personal loans, or overdraft accounts — and need a collection partner that understands the member-first culture you’re built on?
- A partner that operates at bank-grade data security standards (GLBA-compliant), so your member data never leaves a controlled, audited environment — and your examiners never flag your third-party vendor program.
- One that offers both a low-cost fixed-fee option for fresh accounts and a No Recovery, No Fee contingency model for older, harder-to-collect balances — so you match the tool to the account, not the other way around.
- Secure Excel imports a batch of accounts directly into our portal, so you don’t have to manually type every account one by one.
Kinum provides 100% reputation-safe collections for credit unions across all 50 states. GLBA, FDCPA, TCPA & PCI-DSS compliant. SSAE 18 SOC 1 Type 2 certified. 4.85★ from over 2,500 Google reviews.
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Credit unions today are managing more loan volume, more product complexity, and more delinquency pressure than at any point in the past decade. NCUA data shows overall loan delinquency rates at their highest level since 2013, with credit card and used auto loan charge-offs exceeding their peaks from the 2008 financial crisis. Meanwhile, NCUA’s 2025 supervisory priorities place collection program sufficiency at the top of every examination agenda.
Inside most credit unions, a small internal team is simultaneously handling early-stage calls, repossession deficiencies, charge-offs, legal files, and member service. Late-stage and lower-balance accounts are the first to fall through the cracks — not because of neglect, but because there simply aren’t enough hours.
The AR Pressure Points Credit Unions Know Too Well
- Thin collection staffing— A small team managing everything from 30-day reminder calls to charged-off legal files, with no bandwidth for systematic follow-up on mid-tier accounts.
- Overdraft and fee-driven balances— Small dollar amounts that generate outsized complaints and Google reviews when handled poorly.
- Complex member relationships— Co-borrowers, cross-collateralized loans, indirect auto paper, and members holding multiple products across the same household.
- Reputation risk— One aggressive collection interaction can undo years of community goodwill and referral business that no marketing budget can replace.
- NCUA examination scrutiny— Examiners in 2025 are actively reviewing collection program sufficiency, documentation of third-party vendor oversight, and FDCPA alignment — even for first-party collectors.
- The 90-day cliff— Recovery probability drops sharply after six months. Every week an account sits unworked is revenue that may never come back.
These are precisely the reasons most credit unions keep early-stage work in-house and push tougher, late-stage, or charged-off accounts to a specialized agency that understands their environment.
What Credit Unions Should Expect From a Collection Partner
When you send member accounts to an outside agency, you are not just outsourcing phone calls — you are trusting that firm with the relationships your credit union has built. A capable partner should bring:
- Bank-grade data security — GLBA-mindset data handling, encrypted file exchange, role-based access controls, and annual third-party audits (Kinum holds SSAE 18 SOC 1 Type 2 certification).
- Full regulatory alignment — FDCPA, FCRA, TCPA, GLBA, and state-specific collection law compliance, with documented processes your examiners can review.
- A member-friendly tone — Firm, persistent, and professional — never threatening, never aggressive. Every Kinum call is recorded and subject to random audit.
- Omnichannel outreach — Written demands, phone calls, and where permitted, digital outreach — all within legal consent boundaries.
- Actionable reporting — Recovery broken down by product type, delinquency bucket, and account age so you can show meaningful results to your board and to examiners.
- A dedicated contact — Not a call center queue. A named Kinum representative who knows your credit union and your portfolio.
A good partner feels like an extension of your AR team, not a black box you hope is complying with the law.
Choose the Service Model That Fits You Best
Kinum offers both Fixed-Fee and Contingency-Based collection services:
- Fixed-Fee Service: Ideal for recently overdue accounts, providing predictable costs and rapid debt recovery.
- Contingency-Based Service: Perfect for older, challenging debts where our dedicated recovery specialists pursue collections diligently, only charging when successful.
Fixed-Fee Written Demands (Connect)
- Flat fee of approximately $15 per account for up to 5 professional demand letters.
- Letters go out under Kinum’s name as a licensed third-party collection agency — adding legal weight without involving your internal staff.
- Members pay your credit union directly — Kinum takes no percentage of what’s collected.
- Works best for accounts under 120 days past due where a formal third-party notice prompts a fast cure.
- USPS address verification included at no extra charge.
- Non-responsive accounts can be escalated to Step 2 contingency calls at any time.
Contingency Collection Calls (Collect)
- No recovery, no fee — Kinum earns a percentage only when funds are successfully recovered.
- Best for accounts over 120 days past due, broken promises, repeat delinquents, and charged-off balances your team no longer has bandwidth to pursue.
- Dedicated recovery specialists handle outbound campaigns on auto deficiencies, credit card charge-offs, personal loan balances, HELOC deficiencies, and overdraft accounts.
- Skip tracing included free — locating members who have moved or gone silent.
- Free credit bureau reporting (with your authorization) — an ethical, effective motivator for resolution.
- Free bankruptcy screening and litigious debtor checks on every account.
- When the balance and circumstances justify it, legal action is available through Kinum’s national attorney network — only with your explicit approval.
| Serving Credit Unions Nationwide — All 50 States + Puerto Rico. Need a Collection Agency? Contact us High recovery rates. References from existing credit union clients available on request. |
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What Your Credit Union Needs to Get Started
- Member name, address, and contact information
- Account type and outstanding balance
- Date of last payment or date of delinquency
- Any prior internal collection activity or payment agreements
- Loan or account documentation to support the balance (provided on request)
- Most credit unions are fully onboarded within 2–3 business days of completing the online order form and signing the service agreement.
- There is no setup fee. Accounts can be submitted individually or in bulk via spreadsheet through Kinum’s secure 24/7 client portal with two-factor authentication.
Quick start: Send a test batch of 10–20 accounts or a CSV export. Kinum reviews in 1 business day and recommends the lowest-friction path for your portfolio.
Internal Practices That Improve Recovery Before Accounts Reach Us
External collections work best on top of a strong internal foundation. High-performing credit unions typically:
- Begin outreach at 15–29 days past due — not 60 or 90
- Offer realistic, time-limited workout arrangements for documented short-term hardship
- Segment high-risk accounts (indirect auto, higher-risk credit tiers, repeat delinquents) and set clear internal thresholds for when accounts move to third-party
- Keep documented records of all internal collection activity for examiner review
- Review portfolio performance by product type and delinquency bucket — not just as an aggregate\
Kinum can help your team refine these internal thresholds so the handoff to third-party collections is clean, timely, and documented.
NCUA 2025 Supervisory Priorities — What This Means for Your Collection Program
NCUA examiners in 2025 are specifically reviewing:
- The sufficiency of each credit union’s collection program — whether internal staffing and third-party vendor activity together represent adequate pursuit of delinquent accounts
- Credit card portfolio performance — delinquency and charge-off rates that now exceed 2008 crisis peaks
- Used auto loan deficiencies — delinquency and charge-off rates at their highest levels on record
- Third-party vendor oversight — documentation of how outside collection agencies are selected, monitored, and held to compliance standards
- Overdraft program compliance — policies, disclosures, and outreach practices under increasing CFPB scrutiny
Partnering with Kinum gives your credit union a documented, auditable, FDCPA-aligned collection program that holds up to examination. Our compliance certifications — SSAE 18 SOC 1 Type 2, GLBA, PCI-DSS, TCPA, FDCPA — are available for your vendor due diligence file.
Compliance & Data Security
- GLBA Compliant — Member nonpublic personal information handled under full Gramm-Leach-Bliley Act safeguards, including data minimization, secure storage, and privacy controls.
- SSAE 18 SOC 1 Type 2 Certified — Independently audited data security controls, reviewed annually by a third-party auditor. Kinum maintains a dedicated IT security officer.
- FDCPA & FCRA Aligned — Full legal adherence to federal consumer protection laws on every account, every call, every letter.
- PCI-DSS Compliant — Highest-tier payment data security for all member payment transactions processed through Kinum.
- TCPA Compliant — All outbound phone contact follows TCPA consent and timing requirements.
- Licensed in all 50 states + Puerto Rico — Bonded and insured nationwide.
- Bilingual collections — English and Spanish outreach available for credit unions serving diverse member communities.
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Frequently asked Questions
Does Kinum comply with GLBA when handling credit union member data?
Yes. Kinum operates under a GLBA-aligned data governance framework. Member nonpublic personal information is shared only to the minimum extent necessary. All data is transmitted via encrypted, audited channels. Kinum holds SSAE 18 SOC 1 Type 2 certification, independently audited annually, and maintains a dedicated IT security officer. Compliance documentation is available for your NCUA vendor due diligence file.
What types of credit union accounts does Kinum recover?
Kinum recovers overdraft fees and negative share balances, delinquent personal loans, auto loan deficiencies (including post-repossession), credit card charge-offs, share-secured loan balances, HELOC and unsecured line of credit deficiencies, and indirect auto paper deficiencies for credit unions nationwide across all 50 states.
When should a credit union send accounts to Kinum rather than working them internally?
The earlier, the better. At 30-60 days past due, the Fixed-Fee written demand service (Connect) resolves a large percentage of accounts before they age. At 60-120 days, contingency phone outreach (Collect) is appropriate, especially after broken internal promises. At 120 days or charge-off, full contingency collections apply. NCUA guidance also notes that a delinquent loan in the hands of a collection agency supports charge-off and ALLL documentation.
What is the difference between Kinum’s Fixed-Fee (Connect) and Contingency (Collect) services?
Fixed-Fee Connect charges approximately $15 per account for up to 5 demand letters. Members pay your credit union directly and Kinum takes no percentage. Best for accounts under 120 days past due. Contingency Collect charges a percentage only when funds are recovered — no recovery means no fee. Best for accounts over 120 days past due, charged-off balances, and repeat delinquents. Many credit unions use both simultaneously.
Is Kinum’s collection process aligned with NCUA’s 2025 supervisory priorities?
Yes. NCUA’s 2025 supervisory priorities (Letter 25-CU-01) specifically review collection program sufficiency, third-party vendor oversight documentation, credit card and auto loan delinquency management, and overdraft program compliance. Kinum provides a documented, auditable, FDCPA-aligned collection program backed by SSAE 18 SOC 1 Type 2 certification and a full vendor due diligence package.
How does Kinum protect member relationships during the collection process?
Every Kinum call is recorded and subject to random audit. Kinum’s Velvet Hammer approach means firm, persistent, professional outreach — no threats, no aggression, no tactics that generate member complaints. Specialists treat members as people in a difficult situation, not adversaries. Bilingual English and Spanish outreach is available. Even members from whom Kinum has collected debts frequently leave positive online reviews.
How quickly can our credit union get started with Kinum?
Most credit unions are fully active within 2-3 business days of completing the online order form and signing the service agreement. There is no setup fee. Accounts are submitted through Kinum’s secure 24/7 client portal with two-factor authentication, individually or in bulk via spreadsheet. A named, dedicated representative is assigned from day one.
Does Kinum do credit bureau reporting for credit union accounts?
Yes, at no additional cost through the contingency collection service. Credit bureau reporting is entirely optional and done only with your explicit authorization. Overdraft accounts are handled as loan-type balances per NCUA guidance. No account is reported without your approval.
Can Kinum handle skip-trace cases where the member’s contact information is outdated?
Yes. Skip tracing is included at no additional cost in Kinum’s contingency Collect service. Kinum uses legal skip-tracing tools within FDCPA and state law boundaries to locate updated contact information. USPS address verification is also included at no extra charge in the fixed-fee Connect service.
What documentation does Kinum need from a credit union to start working accounts?
Kinum needs member name, address, and contact information; account type and outstanding balance; date of last payment and delinquency date; any prior internal collection activity; and loan documentation to support the balance (provided on request, not required upfront). Accounts are submitted through the secure client portal individually or via spreadsheet — no full core system access required.
Is Kinum licensed to collect in our state?
Yes. Kinum is bonded, insured, and licensed to collect in all 50 US states and Puerto Rico. Kinum’s compliance team tracks state-specific collection laws, statutes of limitations, contact hour restrictions, and disclosure requirements continuously.
What happens if a member files for bankruptcy after their account is placed with Kinum?
Collection activity stops immediately upon confirmed notice of bankruptcy filing, as required by the automatic stay under 11 U.S.C. Section 362. Kinum’s contingency service includes free bankruptcy screening at placement and ongoing monitoring. Your credit union is notified promptly. No collection fees are charged on accounts where bankruptcy prevents recovery.
Credit unions are facing more credit stress, more regulatory scrutiny, and higher member expectations — all at once. You cannot afford to ignore delinquent accounts, and you cannot afford to pursue them in a way that damages the trust you’ve spent years building.
Kinum’s amicable approach — firm enough to recover, respectful enough to protect your reputation — is built for exactly this environment. We recover more by working with members rather than against them, keeping them willing to resolve rather than fighting back.
Need a Collection Agency? Contact us Or call us at 1-888-885-4686 | Email: ko@kinum.com
Written by Sachin Goyal | Business Development Partner at Kinum