Microfinance Lending Software Solutions
A leading microfinance lender contracted Servosys Solution to make their process of microfinance lending solutions fully automated and paperless so that they can reduce TAT and increase their annual loan book size. We thought of bringing automation through a microfinance lending process software in place for a streamlined process of lead generation to disbursement. By offering an automated system with a unified touchpoint, mobility features, the need of reducing the TAT, enabling better collaboration, and offering on-the-foot services, we can help the customer achieve a competitive advantage. Later, with our microfinance lending solutions, the customer can increase the number of loans processed per day and can increase their customer base. The automated system will also help them reduce manpower requirements. This lending software can also be connected with their existing applications, including their microfinance loan management system. Our solutions further can also be customized for a dashboard-based reporting system and collection system so that their entire journey of microfinance loan application can be covered.
Challenges faced without the microfinance lending system
- There was no mobile/tab-based system to process customers’ details and documents at the customer’s place.
- No front-to-backend connected office for data validation and real-time processing of field officer’s requests by backend officers.
- Cumbersome handling of the unstructured document and KYC processing.
- No convenient tool was in place for quick data validation and scanning/re-scanning of documents.
- Slower underwriting processes and semi-technical credit appraisal processes.
Solutions offered using microfinance lending software
- Tab/Mobile-mode-enabled system helped the field officer to key-in customers’ details at the customer’s place.
- Documents are collected, digitized, compressed, and achieved automatically.
- Streamlined KYC processes by receiving documents and other personal details from customers.
- Processes from lead generation to post-disbursement were streamlined and automated.
- Smooth digitization, scanning, editing, storage, and archival of documents were provided.
- Dedupe, credit appraisal, and underwriting processes were made fully automated.
Benefits of Microfinance Loan Software Solutions
- Complete processes from lead generation to disbursement are paperless and reduce TAT from about 20 days to 1.5 days.
- Helped achieve the target of 15,000 loan bookings per day within 18 months from inception.
- Increased productivity several times as the same employees are doing Microloans, Retail Loans, and CASA & Collections.
- Recognized as one of the best Tech solutions for microfinance (from among 20-plus countries participating).