Lenders who’ve already invested in a Loan Management System (LMS) usually raise one complaint more often than any other, and it isn’t about origination or disbursement. It’s collections. The account shows overdue. Everyone can see the DPD (Days Past Due) counter ticking up. And still, nothing happens inside the system to move that account forward, […]
6 NPA Triggers Every Loan Recovery Software Should Monitor
Most loan recovery software is built to act once an account crosses 90 days overdue. By then, the Non-Performing Asset (NPA) classification is formalised, and provisions have been raised. The window for productive intervention has effectively closed. Finezza works with NBFCs and banks on exactly this problem: the signals worth acting on appear well before […]
9 Hidden Signals That Predict Loan Defaults
Loan defaults rarely happen overnight. Nine behavioural signals, from account activity shifts to communication patterns, typically show up weeks or months before a borrower actually defaults, and traditional credit scoring misses most of them. Fintech personal loan defaults hit 3.6% in March 2025, the highest in six quarters, with unsecured loans driving much of that […]
Complete Guide to Building a Digital-First Loan Collection Strategy
Digital banking has transformed borrower expectations. Lenders must now build loan collection strategies that leverage technology, data, and customer-centric communication to maximise recovery while maintaining positive relationships. The emphasis should be on implementing a data-driven and customer-focused approach that prioritises outcomes and leverages digital platforms. Developing a digital-first loan collection strategy is vital for maximising […]
How Is Alternative Credit Data Transforming Credit Underwriting?
India’s economic growth hinges on the success of more than 633.9 lakh micro, small, and medium enterprises (MSMEs) which account for nearly 30% of gross value added (GVA) in India’s gross domestic product (GDP). Despite their valuable contribution, access to credit remains one of the major barriers for MSMEs, particularly unorganised MSMEs due to lack […]
Understanding the Different Types of Credit Risk
Credit risk continues to remain one of the areas of concern for a majority of traditional and new-age lenders. The reasons for this are varied. For example, macroeconomic fluctuations, such as political conflict, recessions, or market instability, can lead to higher default rates. Additionally, new-age lenders often cater to underserved or high-risk segments, increasing the […]