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Datacultr aims to reduce NPA by allowing lenders take control of elusive borrowers’ smartphones

Amitava Chakrabarty
banking, banks, lenders, borrowers, NPA, non-performing assets, non-performing loan ratio, Datacultr, Datacultr Collection Digitization, smartphone, IoT technology, Loan Management System

The traditional way in which banks could reach out to its borrowers was mainly through SMS, Emails, or Agent calls which in most cases are neglected by the customers, leading to cost of delay, which lenders have to bear. Moreover, with India’s non performing assets (NPA) or non performing loans ratio increased further to 11.2 per cent in March 2018, compared to that of 9.3 per cent in 2017, there was a need for a platform that can digitise communication in order to reduce costs involved in the collection process.

To reduce the overall cost of collections and to increase the effectiveness of the entire process, Datacultr, a PaaS (Platform as a Service) for consumer lending companies introduces Collection Digitization, an innovative over-the-air communication framework that improves outreach of a lender to a borrower to nearly 100 per cent.

Datacultr's platform brings ogether the entire ecosystem by integrating end-to-end with the lent out device on one side and the Lender's Loan Management System on the other, that makes the programme a successful one for both the borrower and the lender. The self-learning platform helps lenders to programme and digitise all communication, that work even when the borrower is offline, out of coverage area or unwilling to pick up calls.

Commenting on the development, Neel Juriasingani, CEO & Co-founder, Datacultr, "Consumer lending companies need to embrace digitisation in their collection systems in order to gain efficiency and cut down on operational costs. As far as loan repayment is concerned, Digitisation is the key to rapidly scale the process, so that the lender can focus on new disbursals. Our solution bridges the gap by not only automating the communication with the borrower but at the same time, also educating them on the benefits of timely repayment."

The proprietary software provided by Datacultr is built on a combination of core IoT technology, an innovative communication framework & machine learning. The software can remotely manage smartphones given out on loan, by setting up a unique device experience module for the lenders that helps them manage the asset as well as leaverage datacultr's communication framework.

The software integrates with the Smartphone and provides controlled access of the device to the lender for the tenure of the loan, which the lender uses to reach out to the borrower in case of delays, gradually managing the experience on the device and ultimately locking the device in cases of default.

For the unbanked and underserved user, such loans that ride on Datacultr's technology begin their journey of building a robust credit score, enabling access to bigger loans in the future. Datacultr has combined technology with the basic financial service and created a simple and fair offering for those who need it the most.