Roopya Small Ticket Loan Software ensures the following:
1. Define Product Parameters and Risk Appetite: Clearly define the small ticket loan products, including loan amounts, terms, and interest rates. Establishing Risk Appetite statement including the bank’s tolerance for risk, specifying acceptable default rates and target market segments.
2. Develop a Digital Loan Journey and Application Process: Roopya provides a user-friendly online customer loan journey that can be accessed via mobile or web. Automated Data Capture is Implemented for OCR (Optical Character Recognition). Other data capture technologies automatically extract information from uploaded documents.
3. Integrate with External Data Sources
- Roopya Data Partnerships: Leverage Roopya’s data partnerships with credit bureaus, banks, and alternative data sources (e.g., utility companies, e-commerce platforms) for real-time data access.
- API Integration: Develop API integrations with these data sources to pull relevant borrower information during the application process.
4. Implement Advanced Credit Scoring Models
- Machine Learning Algorithms: Roopya utilizes machine learning models that incorporate traditional and alternative data points to assess borrower creditworthiness more accurately.
- Continuous Learning: Ensure the model is capable of continuous learning, adjusting to new data and trends to improve accuracy over time.
5. Roopya Automates Decision Making with Pre-defined Criteria
- Decision Engine: Build or integrate a decision engine that applies pre-defined underwriting criteria based on the risk appetite and credit models.
- Instant Approval/Rejection: Configure the system to provide instant loan approval or rejection based on the decision engine's output.
6. Streamline Loan Disbursal
- Payment Gateway Integration: Integrate with payment gateways and bank APIs to enable direct loan disbursal to the borrower’s bank account.
- E-signature and Digital Contracts: Utilize digital contract signing and e-signature solutions to ensure legal documentation can be completed online.
7. Automate Loan Servicing and Repayment
- Automated Notifications: Set up automated reminders for upcoming repayments.
- Digital Repayment Solutions: Offer multiple digital repayment options, including bank transfers, mobile wallets, and online payments.
8. Monitor and Manage Loan Portfolio in Real-Time
- Real-Time Analytics Dashboard: Develop a dashboard for monitoring loan portfolio performance, including default rates, repayment rates, and portfolio growth.
- Dynamic Risk Management: Implement algorithms to dynamically adjust risk parameters and underwriting criteria based on real-time portfolio performance.
9. Ensure Regulatory Compliance and Data Security
- Compliance Checks: Embed compliance checks throughout the loan process, from application to disbursal, including KYC, AML, and fair lending regulations.
- Data Protection: Implement stringent data security measures, including encryption, data anonymization, and secure access controls.
10. Continuous Improvement and Optimization
- Feedback Loop: Establish a feedback loop using borrower feedback, loan performance data, and market analysis to continuously refine the loan product, underwriting criteria, and customer experience.
- A/B Testing: Regularly conduct A/B testing on different aspects of the loan process to optimize for speed, conversion rates, and loan performance.
