About The Client
A leading global information services and credit reporting company that provides data and analytical tools to its customers. It collects and aggregates information for more than a billion consumers and companies. The company operates in 37 countries and has its largest presence in North America. The client’s India operations began in 2010.
Business Context
Many financial institutions believe that lending to individuals is risk-free given they are better placed with credit scores. A key aspect of lending is the analysis of factors affecting non-performing loans (NPLs) of banks. NPLs and delinquent cases hamper economic activity, reduce profitability, negatively affect the bank’s capital, and increase funding costs. Financial institutions are required to manage, monitor, and control delinquent accounts.
The Challenge
The client was in need of an automated collection agency allocation system that would assign/re-assign delinquent cases to agencies based on the bank’s agency allocation algorithm. The solution should also provide the bank with an interface to track cases systematically. The current system was inefficient and prone to errors.
Additionally, the solution should:
- Make allocations of delinquent cases to relevant agencies smoother
- Provide simpler, accurate, and speedy management of case allocation
- Provide better insights with a real-time dashboard
- Allow tracking, automate notifications, and reports
The Solution Offering
After an in-depth study of available technology options, the client found Tejora’s saffronCRED as the right fit to streamline their debt collection operations.
The secure and centralized platform, integrated with the customer’s ERP, enhanced the client’s ability to reconcile loan accounts. It also provided a dashboard view of delinquent accounts that required priority follow-ups. A robust rule-based configuration system simplified and automated the allocation of accounts to collection agents. It also fixed vulnerabilities in the system and plugged billing leaks. saffronCRED tracked delinquent case details and generated reports with customizable filters.
Key Features
- Tracked cases in real-time
- Automated assignment/re-assignment of delinquent cases
- Disseminated cases to lower users in the hierarchy
- An Android-based mobile app for collection agents with a single dashboard
- Real-time receipt generation and cancellation
- SMS integration providing authentication on the collection of cash
- Generation of e-receipt based on real-time SMS validation
- A cash management process to complete the cycle of collection
The Impact
Leveraging Tejora’s solution, the client was able to automate the re-assignment of delinquent cases and greatly increase process efficiency. Collection agents were provided with an insightful dashboard that included include cases assigned, pick up cases, and an option to transfer cases assigned to the agent with complete case details and history. Cash collected is then deposited to the account with an upload of the pay-in slip in real-time. In addition, the client was able to offer delinquent accounts the options to settle, restructure pending payments by the field agent or telecallers.
The highlights of the results:
- Automated the collection process
- Reduced TAT of the allotment process
- Enabled real-time tracking
- At-a-glance insightful dashboard
- Fixed billing leak problems
- Easier reconciliation and effective tracking of billing cases
Tech Stack
