Lesson 3 of 8
Before the first missed payment: reminders, payment design and early warning
Arrears that never happen cost nothing to collect. This lesson explains why prevention comes first, what a randomised experiment in the Philippines found about text-message reminders, what a study in India found about how often borrowers repay, the choices a lender makes in designing payments, and how early-warning signals and a watch list find borrowers under strain before they miss a payment.
Published 16 October 2026 · Listen to this lesson
In this lesson
- Why prevention comes first
- Reminders: what an experiment in the Philippines found
- Payment design: the schedule and how often borrowers pay
- Early warning: signs before arrears
- A worked example: what a watch list catches
- Questions to settle before the first due date