Signs of vulnerability override every limit in a collections approver authority matrix. Beneath that rule, the matrix sets who approves each action an AI agent prepares for a customer in arrears: payment arrangements, fee and interest waivers, breathing space, write-offs and onward referrals, with the agent's depth and each approver's limit.
What makes collections approvals different?
Collections combines money and hardship. A customer in arrears may be disorganised, unwell, bereaved or under financial pressure from several directions. Conduct rules in many markets, such as the FCA's Consumer Duty in the UK, expect firms to deliver good outcomes for such customers. An agent that is efficient at chasing payment can do real harm if it treats a struggling customer as a routine case.
So the matrix has two layers. The first is ordinary authority: who agrees which payment plans, waivers and write-offs, up to what value. The second is a set of triggers that override the first. When a customer mentions illness, job loss, a bereavement or mental health, the agent stops proposing and holds the case for a trained person. The authority matrix concept handles the first layer; the second is specific to collections.
How do you fill it in?
- List every action the agent can take or prepare in a collections case.
- Set depth: reminders within an approved template may run at depth 3; plans and waivers are usually drafts at depth 2; write-offs are always held.
- Name the approver and their limit.
- Add the second approver rule.
- Write the vulnerability override for each action: what happens if a trigger appears.
- Record the certificate each approver must hold.
The template
| Collections action | Agent depth | Approver | Limit | Second approver when | Certificate | If vulnerability is indicated |
|---|---|---|---|---|---|---|
| Send arrears reminder | ||||||
| Agree payment arrangement | ||||||
| Waive fees or interest | ||||||
| Grant breathing space | ||||||
| Pass to specialist team | ||||||
| Refer to external agency | ||||||
| Write off balance | ||||||
| Start legal action |
A worked example
A hypothetical consumer lender's collections team: fifteen agents, four team leaders, a specialist support team and a collections manager. Values are illustrative.
| Action | Agent depth | Approver | Limit | Second approver when | Certificate | If vulnerability indicated |
|---|---|---|---|---|---|---|
| Arrears reminder | 3 | None within template | n/a | n/a | n/a | Agent stops; case held |
| Payment arrangement | 2 | Collections agent | Up to 12 months | Longer, team leader | Operator | Specialist team only |
| Fee or interest waiver | 2 | Team leader | 500 | Above 500, manager | Operator | Specialist decides, no upper limit within policy |
| Breathing space | 2 | Collections agent | 30 days | Longer, team leader | Operator | Specialist team |
| Pass to specialist | 2 | Collections agent | All | None | Foundations | Automatic |
| External agency referral | 2 | Team leader | All | Always, manager | Operator | Never while flagged |
| Write-off | 2 | Collections manager | 5,000 | Above 5,000, credit risk | Operator | Specialist recommends |
| Legal action | 1 | Collections manager | All | Always, legal | Operator | Never while flagged |
Arrears reminders run at depth 3 only within an approved template and only until a trigger appears. Once a customer replies with anything that suggests vulnerability, the agent's next reminder is held, and the case passes to the specialist team. Collections agents must be able to recognise the triggers the agent missed, which is why "pass to specialist" needs only Foundations: everyone must be able to do it.
Legal action sits at depth 1. The agent may read the file and confirm the history, but it does not draft the decision to sue. That decision stays with the manager and legal, and never proceeds while a vulnerability flag is open.
Write-offs above 5,000 involve credit risk because they affect provisioning, which ties this matrix to the approver authority matrix for the credit team. The conduct side, especially outcome testing on vulnerable customers, links to the approver authority matrix for the compliance team. Thresholds are set in detail in the approver rule for the collections team.
Where the Academy fits
Pryme Intelligence Academy's Operator track trains collections staff on human review with module tests set in their own industry and role, so practice cases include arrears conversations. Its practicum marks two weeks of real review decisions and requires no missed red line, which suits a team where missing a vulnerability trigger is the error that matters most.
Questions people ask
Can an agent agree a payment plan without a person?
In this model, no: it drafts and a collections agent approves. Some firms allow depth 3 for very short, standard plans once the agent has earned it, but never once vulnerability has been indicated. The skills each role needs are in AI agent skills by role.
Who decides whether a customer is vulnerable?
A trained person. The agent flags signals; the specialist team decides what support and forbearance follow.
Should collections agents see the agent's reasoning?
Yes. They should see which bound held each action and what the agent relied on, so they can tell a missed trigger from a correct hold.