Modern loan origination software has eliminated historical barriers through powerful integrations, enhanced functionality, and optimised costs. These advances have transformed conventional banking platforms characterised by complex setups and rigid infrastructure. However, one critical decision financial institutions face when adopting such software is choosing between cloud-based and on-premises loan origination software. Each option comes with its […]
From Data to Decisions: AI’s Role in Modern Credit Underwriting
Today, Artificial Intelligence (AI) plays a transformative role across various sectors. In financial services, a recent survey, for instance, indicated that 13% of banks are already leveraging AI in lending operations to boost efficiency and performance. Over 50% of the surveyed banks aim to invest $100,000 or more in machine learning-driven credit models over the […]
Understanding the Growing Demand for Study Abroad Loans
Global education dreams often clash with financial realities. While over 1.3 million Indian students are studying abroad in 2024, many found their ambitions constrained by the staggering costs. A typical master’s program at a US university now demands an investment of ₹24 lakhs to ₹96 lakhs, placing international education beyond the reach of most middle-income […]
RBI Innovation Hub: Building a Unified Lending Interface with Aggregators
In recent years, India’s digital lending industry has significantly boomed. Statista reports that it’s one of the “fastest-growing FinTech segments.” For instance, it grew from USD 9 billion to USD 270 billion in the latest decade (2012-2022). According to many analysts, it’s all thanks to strategies offered by the RBI Innovation Hub (RBIH). Recently, they […]
Micro LAP: The Future of Small Ticket Lending for Lenders
In the small-ticket lending market, Micro Loan Against Property (Micro LAP) serves as foundational support for lenders and financial institutions. It allows them to cater to the underserved segments with a secure and flexible way to access funds. By using loan applicants’ residential or commercial property as collateral, Micro LAP provides instant credit access to […]
Understanding Collateral Valuation Strategies in Corporate Loan Underwriting
In corporate loan underwriting, collateral acts as a safety net for lenders, reducing the risk of loss, and making sure that the lender can recover their funds if a borrower defaults. Typically, the size of the loan a lender provides ranges from 70% to 90% of the collateral’s value. This significant margin shows the importance […]