There’s no “money to burn” category in a marketing budget. Making every dollar count is far more likely if you’re actually reaching the right person with your offer – and that’s exactly what a prescreen mailing can help you do.
Prescreening pinpoints creditworthy consumers and lets you make a firm offer of credit to them based on their individual credit levels. Basically, you’re telling them outright what rate and amount they qualify for with you. And, thanks to variable data printing, the offer can be automatically adjusted to fit the exact loan terms that apply to each recipient. It’s an easy and effective way to generate loan income.
There are some pretty specific requirements by the credit bureaus for these types of offers. While image.works can take care of the mail list specifics for you, as well as the writing and design of your prescreen mailer, we need some information from you up front – especially for the disclosure – to make sure your piece meets bureau standards:
What terminology do you prefer?
A prescreen mailer must indicate that the consumer is pre-selected, pre-qualified or pre-approved for an offer of credit. You can choose the phrasing that you prefer, and we’ll use that consistently throughout the piece.
What is the maximum interest rate of the loan?
You have the option of including an exact or “as low as” rate that your recipient qualifies for, or even a more general statement like “You are pre-approved for up to $25,000.” Keep in mind that if you are not including a specific preapproved rate, you must state the maximum interest rate on the loan. For example, for a personal loan, you might say “The maximum interest rate is 17.90% Annual Percentage Rate (APR).”
What is the minimum loan amount?
Again, if you are not stating a specific preapproved loan amount, you must include the minimum loan amount. For example, you might say “You have been prequalified for an auto loan of $5,000 or more” or you can just say “Minimum loan amount is $5,000.” The minimum amount must be relevant to the type of offer being extended – e.g., $4,000 for a new (or $2,500 for a used) auto loan, $50,000 for a mortgage, $10,000 for a HELOC, $500 for a credit card or $250 for a personal loan.
What are the eligibility requirements?
This must be specific and include at least two criteria, if not more. For example, you might say “Eligibility is based on credit history, proof of income and collateral.”
Much of the above information is typically incorporated into the disclosure. Along with these requirements, both a long and short opt-out notice must be included on certain sides of the mailer, which is standard language that we will add in for you. We’ll also route the final mailer to the credit bureaus for their review and approval to help make sure all the bases are covered before it goes to production.
Our goal is to make this process an easy one for you – and one that truly pays off! Ask us for more details on our prescreen mail capabilities and our success stories of budget-boosting ROI.