Lenders Bleed on EMI Collections

Imayan Digital Payan: Open Fintech Solutions Muthu, Meharun & Anie Muthu/Imayan Digital

Factors increasing collection cost

Lack of confident prediction of online payers Field collectors run after easy customers choking month-end bandwidth for tough collections Customers unaware of alternate self-pay options Girl_with_red_hat/unsplash

How to maximize digital EMI collections?

Create risk segments based on underwriting and past repayment data Augment with recent campaign-response data Take segment-specific strategies to convert Nathan_Dumlao/unsplash

Sample strategies

Hold (from field allocation) and do nothing! Simplify digital payments and remind with increasing intensity Reward payer to influence digital payment Befriend the collector with digital conversion royalty Vishal_Banik/unsplash

Caution on voice overuse

Voicecalls: Effective in grabbing attention and personalized message Note that most customers listen for upto 15 seconds before hanging up Complex journey trees of voicebots may deliver msg after 15 seconds Frequent reminders have diminishing returns; may cause customer churn Ilias Chebbi/Unsplash

Benefits of digital collection

Enhanced customer experience Reduced field collection cost Unlock more capacity for overdue collections Rich data for better understanding and modeling Muthu/Imayan Digital

Don't ignore campaign response

Most lenders spend heavily on repetitive campaigns and costly tools While winners focus on campaign insights for segment specific strategies Julius_Drost/unsplash Win with Imayan Digital

Why do we have meeting for meeting's sake?

Imayan Digital Payan: Open Fintech Solutions Meharun, Anie and Muthu dima_sidelnikov/shutterstock Click to Read