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Components of an Ideal NBFC Software Solution

Blog January 21, 2023

In India and worldwide, non banking financial companies (NBFCs) have witnessed exponential growth. As these agencies have been offering banking facilities and financial services without much hassle, customers are more attracted towards services offered by NBFCs. Some of the popular financial products offered by these companies are loan and lending, insurance, PPF, and more. As the number of consumers is increasing to use banking and other financial services from NBFCs, the need for advanced NBFC tools like an NBFC software, call center solution for NBFCs, call center solution for collection agencies, etc. has also increased.

We all are aware of major features available in a call center solution, but NBFC software or exclusively developed tools for non banking financial companies like an IVR for collection or payment utility for collection, etc. are new in the market. Of course, you can search for the best software to manage the complete cycle of a non banking financial company, but it is a must to know the major components and features that this software must have for seamless and hassle free operations and management.  It also enhances the standard of customer service for NBFC.

To help you find the best software for your non-banking financial company, here are the must have components with the required features and functionalities.

1. Customer management system

The whole banking or non banking industry works on the customer cycle, thus any software used to provide financial services or manage it, then the first component needed is a customer management system. As mentioned earlier, an NBFC provides different financial products to clients. Thus, the customer management system will not only provide details of customers and the complete history of clients, but it will also provide details of financial products used by the customer in the past and used right now. An advanced call center solution for collection agencies or NBFC software solutions can also show some sort of predictions related to clients to help agents use it during collection or lead generation campaigns.

Along with managing customer systems, businesses also need to manage campaigns related to customer service for NBFC by resolving customer concerns and queries.

2. Lead generation

Similar to any other industry or organization, NBFC also needs to generate leads for its financial products like money cards, loans, insurance policies, mutual funds, stocks and shares, and more. The software must support running lead generation campaigns and managing them. Usually, a call center solution is used to meet this purpose of running sales campaigns and lead generation campaigns by agents of NBFCs.

3. Loan management system

One of the major financial products of NBFCs is loans. The NBFCs provide loans for different financial products like homes, automobiles, jewelry, and more. There is a whole cycle of loan management, which includes KYC verification, customer service for NBFC to give the required information, paperless loan sourcing, loan processing, document verification, loan account creation and management, loan money disbursement, EMI payment management, and multiple other aspects. By using a call center solution for collection agencies and an NBFC software solution, all different stages of loan management can be managed digitally.

This software usually reduces the manual processes as it will have inbuilt algorithms that manage different jobs such as KYC verification or credit score calculation to grant a loan amount.

4. Cash collection system

One of the major and most challenging jobs that a nonbanking financial company manages is cash collection. This can be for any financial services offered by an NBFC such as premiums for insurance coverage, bills for credit cards, EMI for the loan amount, etc. A majority of the time, companies run campaigns using an IVR for collection or call center solution for collection agencies or similar software for collecting EMIs for loans. This is a whole intricate process made of several layers, stages, and agents.

Along with call center agents running telephonic campaigns using payment utility for collection or a specifically designed call center solution, there will be collection agents in the field that visits clients to collect EMI money and pay at the collection center of the NBFC. There are also some mechanisms integrated into the call center solution for collection agencies, which can be used to provide the required guidance to customers to pay EMI online using an online system for remote operations.

If a customer does not pay, the payment utility for collection ensures that the agent gets the promise to pay date (PTP date) to ensure that the reminders can be sent on and before that date using mechanisms like an IVR for collection.

The collection is a whole system that has to be managed very meticulously as it is one of the major financial products that make a profit for NBFCs.

5. Agent commission statement

In NBFCs, similar to other financial and banking organizations, agents receive some incentive or commission for collected dues and debts with their skills. As the loan structure, commission model, floating interest rates, etc. are so intricate, manual processes often fail in counting agent commissions. Thus, companies that develop call center software for collection agencies or NBFCs, also build a module for agent commission calculation. This would also be a necessary component in the NBFC software. It only counts the commission of each agent, group of agents, department or campaigns, etc., but it also creates a complete commission statement that can be used for financial analysis, forecasting, budgeting, performance evaluation, and other key jobs.

6. Reports

Reports are necessary for any business as it gives performance evaluation data. In financial businesses like NBFCs, it is necessary to be aware of the financial performance with solid and reliable data. This data can be used for variance analysis, audit, AR & AP management, bank statement reconciliation, overhead analysis, risk analysis, trend analysis, working capital management, cash flow management, etc. This is the reason software for any non banking financial company needs to show all data in detail and in well formatted reports. Some of the major reports you will find in the call center solution for NBFCs are listed below:

  • Branch to branch reports
  • EMI collection report
  • Monthly sales report
  • Cash collection report
  • Agent commission report
  • Loan reports for a specific period
  • Financial position report
  • Exception reports
  • Debtor report
  • Profitability report
  • And more

These reports can also be exported as PDF or PPT to showcase to investors, higher authorities, etc. A majority of these reports are related to collection, which is why you may find them in a call center solution for collection agencies integrated into the non-banking financial company solution.

Concluding notes

Operations of any NBFC are as intricate as banks and there is also regulatory enforcement to follow. We definitely cannot forget or ignore the cutthroat competition in the market caused by other NBFCs and banks. Thus, it is necessary to take advantage of technology. The NBFC software is one of the majorly used tools in these organizations. Thus, it is necessary to incorporate all features that can save the time of agents and NBFC staff. Moreover, it must have features to enhance operational efficiency and accuracy. To help you choose the right software, we have listed out all the major and must have features of this software.

If you are looking for a technical partner, we can be at your side. We have developed the best call center solution for collection agencies, IVR for collection, payment utility for collection, and multiple other solutions. We also have built an award winning Dialshree: Omnichannel Contact Center Solution. To know more about our technical products, get in touch with us.

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