The finance sector plays a pivotal role in shaping the global economy along with leaving a strong impact on the society and environment. As we confront the challenges of climate change, resource depletion, and social inequality, the need for financing sustainability focused initiatives has never been more critical. The urgency for environmental sustainability and the imperative to embrace a greener…
The traditional banking ecosystem in India is heavily reliant on paper-based documentation for various processes such as account opening, lending, and record-keeping. Many interactions are associated with necessitated in-person visits, inflexible routines, and lengthy wait times. As a result of a shift towards the digital engagement model and the need to prioritise time management, people are gradually transitioning toward self-service…
Easy access to formal credit has been a challenge for a section of the population due to a variety of reasons. India’s expansive and diverse demographic landscape, complicated loan application procedures, inflexible qualification norms, dependency on physical setups etc. have limited the access to credit. However, the growing popularity of digital lending has initiated a transformative wave that is increasing…
The banking industry is constantly evolving in order to keep up with the rapidly changing customer expectations in a world dominated by digitization. A key component driving this evolution is automation, particularly in customer service. Automation, which has its roots in technological advancements such as artificial intelligence (AI) and machine learning, has the potential to significantly alter the landscape of…
What are the challenges faced by debt collection calling agents? Debt collections managers and contact center agents frequently encounter high abandonment rates, high borrower complaints, and low-performance efficiency when relying on manual dialing campaigns. Similarly, automated calling through auto-dialers also serves a limited purpose. Calling agents waiting for borrowers to answer calls experience low connect rates and extended idle times,…
The debt collections industry in Indonesia has traditionally relied on manual processes and outdated methodologies. However, the rapid advancements in technology are also making an impact on the Indonesian debt collections practices. Innovative technology platforms and digital solutions are carving a space in the dynamic environment, revolutionizing the debt collections market, and enabling more efficient and effective practices. Let us…
Retail lending companies now realize the importance of maximizing efficiency in debt collections. Lenders are working on tailored strategies to address the challenges, which include high cost, delays in repayment, and cumbersome communication methods associated with manual processes. Instead, they are implementing simpler, seamless and efficient debt collections strategies to attain higher productivity and collections rates. By adopting fresh approaches,…
The rapidly changing consumer behavior is characterized by a paradigm shift in how people search, buy, borrow, consume, engage, and communicate. Digital engagements have become a way of life, and customer experience expectations are continuously evolving. In an era where customer needs reign supreme, and personalization is rapidly becoming a norm, lenders must reassess their approach to debt collections. Adopting…
Field debt collections is a process that involves the recovery of outstanding debts through face-to-face communication between the debtors and the collection agents. This method is often used when traditional collection efforts, such as phone calls, letters, and emails, have proven insufficient to recover the debt. Professional collection agency’s in-house collections teams typically carry out field debt collections, which creditors…
Field debt collections deposits rely on a hub & spoke model for lodgement and realizations of cash collected by the agents. This field debt recovery process is to be steadily monitored and tracked for the lenders to seamlessly manage their collections inflow. While this model for cash deposit by agents is viable for bigger financial institutions with a pan India…
With the growing demand for retail debt amidst the volatile economic scenario there is a potential for a rise in delinquencies. In this scenario, the inadequacy of traditional collections mechanisms can become a handicap and pose challenges for lenders and other financial institutions. Lenders need to revisit their approaches across the entire debt collections lifecycle in the current context while…
The rapid emergence of innovative technologies in the debt collections industry is creating new opportunities for lending institutions. Lending institutions have already redefined how they interact with their customers, indicating that 2023 will see a significant amount of change. A technology-driven ecosystem is becoming more prevalent thanks to increased use of data analytics and tools like artificial intelligence and machine…