What are the Features of an Ideal NBFC Software?

With the sudden growth of the loan market in India and where the cost of borrowing on those loans are very high, it includes software development which makes the business players follow the organised business practice. A lending business in Indian consists of technology integration and innovations that give an edge to its customers, and it gave customer support through technical encouragement. However, to operate such a lending business, one needs to attain an NBFC Registration in India. This article describes the features of an ideal NBFC Software.

To reach the broad spectrum of the nation’s customer support, the Non-Banking Financial Company wanted a more tech-savvy help.  At present, the clients are high maintenance and are technology-driven. Non-Banking Financial Company is not able to enlarge the credit facilities to other parts of the nation. Because of the economy of India, the demand for credit is very high. To control the ideal NBFC Software, it can decrease the total workforce cost; it can increase the satisfaction of customer and software can handle many customers and loan inquiries and avail the benefits of both. Such software aims to reduce the total workforce cost and customer support to users and happiness to clients on the calculation of loan amount.

What is an NBFC?

Before we discuss the features of ideal NBFC Software, let us first understand the term NBFC. NBFC stands for Non-Banking Financial Company, also known as NBFIs (Non-Banking Financial Institutions) are financial institutions that provide various banking services but don’t have a banking license. Usually, such financial institutions are not permitted to take traditional DDs (Demand Deposits); readily available funds, such as those in saving or checking accounts from the public. NBFC is registered under the Companies Act 1956 or 2013. Moreover, it states that the Non-Banking Financial Company must be involved in the business of Advances and Loans, equities, Acquisition of Stocks, etc., issued by the local authority or the Government.

Features of Ideal NBFC Software

To make the ideal NBFC Software usable, it should have the following features, such as:

• Automatic Process: The most appropriate benefit of technology advancement of the Non-Banking Financial Company into this technology growth is making the operations very easy and quick. Generally, getting a loan would require spending a good amount of days and along with a  lot of paperwork in the older idea of NBFCs. However, the enhancement has stopped the manual estimations and saves its users time for determining its consumable days.
• New Debt Collection Equipment: As per the new equipment developed by NBFC Software, it supports the collection process and relieves them. With such tools or equipment, the lending institution forgoes the need to maintain heavy paperwork files. The new NBFC Software aids to estimate the real-time updates regarding the repayments to the borrowers to keep the follow-up tracks and location of clients. It decreases the load of the field collection agent to drop its load.
• Modified Lending: It common practice, it is tough for the Non-Banking Financial Company to give an altered or customised lending plan as per the desirability of the customers. With the increase in competition, the Non-Banking Financial Company uses different methods to attract customers and amaze them.

The new software would make the Non-Banking Financial Companies bring customised borrowing or lending plans that are according to the requirements of users. The software developed project would bring the tailored and adapted borrowing which suits their requirements. AI (Artificial Intelligence^[1]) and customised algorithms for Non-Banking Financial Companies (NBFCs) to find specific solutions for their customers as per their needs.

Personalised and automated messages that ensure the competent service and personal access to borrowers and decreasing the number of Non-Performing Asset (NPA) for the lender.

• Customer Support: The essential point in customer support is that the questions which are arising should be resolved with a given time. The customers coming towards the Non-Banking Financial Company are the ones who are declined by the Rational Banking Institution. They approach a Non-Banking Financial Company with, number of options to clients for its borrowing or lending.

The vital part is that, because of rising in applications, the requirements for customer support has to be fulfilled. The software fastens the process by finishing the loan process and servicing time. A Non-Banking Financial Company is popular in order to give credit services immediately to their customers. Hence, the credit services which are immediately provided, when met with technological support, will eliminate the barriers for their growth and their customers.

The new software reminds for the timely payment of the instalment, personalised messages to the customers, share payments of loan bill, and forward statements. Customer support aids in forming an interpersonal relationship with the customer.

• Well-Organized Loan Processing: This is because of the traditional banking system, and it has drawbacks, which has led to the NBFC’s growth in India. The improvement of Non-Banking Financial Companies is due to the upsurge in declined customers from traditional banking and failure to get loans. With the use of the correct technology, ideal NBFC Software helps to recognise the right market share and capture them.

The ideal NBFC Software aids them to categorise their potential users to scale up. The use of data and analysis help an ideal NBFC Software navigate unorganised sectors under the populations. The right NBFC Software gives the customer the right usage plan as per their present requirements and a well-informed lending decision.

Conclusion

It can be done by estimating that loan or borrowing is vital to the current economy. Loans are a primary part of the funding, and it is an essential product of any traditional bank. It can be estimated that the current loan from any NBFC comes from the ideal NBFC Software with a combined loan regime generator, and it can be altered as per the customer’s requirements. This software helps in the management of loan as commencing from receiving the loan application, checking the criteria for getting a loan, inspecting the documents, setting the amount of loan and disbursement & collection of EMI.

NBFC Software helps identify the customer regarding their due dates of payments in advance and reminds them to make timely payment or borrowings. The customers are free to use their accounts without going to the banks.

Read our article:NBFC Impact on Vehicle and Housing Loan Sector – An Overview