ClearDu Pulse

Shailen Mehta

Chairman and Managing Director - AMSS Pvt Ltd and ClearDu Fintech Pvt Ltd

发布日期: 2023年9月12日

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From the Chairman’s Desk - Shailen Mehta

“I am delighted to speak to you about the launch of our NPA Resolution Platform, a critical step forward in our quest for financial excellence. The current weight of Non-performing Assets (NPAs) in the banking sector needs rapid action, and we have responded to the challenge by developing a trailblazing platform designed to foster a dynamic ecosystem for successful bad debt resolution.

Our platform is built on a profound dedication to transparency, integrity, and customer-centricity. We understand the difficulties that businesses, financial institutions, and individuals endure as a result of NPAs, and we are committed to providing a holistic solution that empowers all parties. We try to promote quick and seamless responses that accelerate organizations toward growth and recovery by utilizing cutting-edge technology, data-driven insights, and strategic cooperation. Our agenda is about more than just settling bad debt; it is also about revitalizing our economy. We foresee a world in which businesses can thrive without the weight of NPAs, financial institutions can reliably o?er credit, and individuals may profit.

Thank you for your unwavering confidence and support. We are convinced that, with your help, our NPA Resolution Platform will usher in a new age of wealth and financial well-being for our country.

Banks wrote off Rs 14.56 lakh crore NPAs since 2014-15; Rs 2.09 lakh crore wiped out in FY23

The government has taken comprehensive steps and RBI to recover and to bring down NPAs, enabled by which, gross NPAs of PSBs have declined to Rs 4.28 lakh crore as of March 31, 2023, from Rs 8.96 lakh crore as on March 31, 2018, said Minister of State for Finance Bhagwat Karad.

Creditors see a better rate of recovery from large firms via IBC

Creditors recovered 32.6% of their admitted claims from large stressed firms alone until June since the IBC came into being in 2016, according to the Insolvency and Bankruptcy Board of India (IBBI) data.

RBI reluctant to hand out NBFC licenses to fintech with common PE Investors

With non-banking finance company licenses issued to fintech majors such as Cred and Jupiter, multiple fintechs have pursued the banking regulator for an NBFC license.

ARC Body calls for safeguards against the filing of criminal cases

The ARC has sought the finance ministry's intervention to issue an advisory to direct authorities to build adequate safeguards in initiating criminal cases against lenders and its officials.

Responsible conduct in lending

Greater transparency in Interest Rate Reset of Equated Monthly Installments (EMI) based Floating Interest Loans.

The Reserve Bank's supervisory reviews, along with public feedback, have exposed cases of lenders unreasonably extending ?oating rate loan tenors without proper borrower consent. To tackle this, a comprehensive conduct framework will be introduced for all financial institutions. This framework mandates transparent communication with borrowers about resetting tenors or EMIs, switching to fixed rates, or foreclosure options. It also ensures clear disclosure of associated charges and vital information. Detailed guidelines on this will be released soon.

Conversational payments in UPI

UPI has revolutionized digital payments in India due to its user-friendly interface, security features, and real-time capabilities. With continuous enhancements, UPI now serves various payment needs. In the era of integrating Artificial Intelligence (AI) into the digital economy, a novel payment method named "Conversational Payments" is proposed for UPI. This mode allows users to conduct secure transactions through AI-powered conversations, accessible on smartphones and feature phones. Initially in Hindi and English, this feature will boost digital access, aiding in nationwide adoption. Instructions to NPCI will follow.

O?ine payments in UPI

To enhance the speed of small-value UPI transactions, the introduction of an on-device wallet named "UPI-Lite" in September 2022 has been successful. This wallet optimizes processing resources for banks, resulting in fewer transaction failures. With over ten million monthly transactions, UPI-Lite has gained momentum. To further its adoption, o?ine transactions using Near Field Communication (NFC) technology are proposed. This feature facilitates retail digital payments even in areas with weak or no internet/telecom connectivity, ensuring rapid and reliable transactions. Instructions to NPCI will follow.

Enhancing transaction limits for small-value digital payments

The Reserve Bank has set limits of ?200 per transaction and ?2000 overall for small value o?ine digital payments, including NCMC and UPI Lite. These channels facilitate quick, dependable, and contactless payments without the need for two-factor authentication for minor transactions like transit payments. Due to growing demand for expanded limits, the proposal is to raise the per transaction limit to ?500, while maintaining the overall limit at ?2000 to mitigate associated risks. This adjustment aims to encourage broader usage and diverse applications of this payment mode. Instructions will follow accordingly.

Public tech platform for frictionless credit

India's digital public infrastructure fosters innovation in finance. A Kisan Credit Card (KCC) pilot, launched in September 2022, tests paperless, hassle-free lending. Operational in select districts, this model enables doorstep loan disbursement and has shown positive initial results. Following this, the Reserve Bank Innovation Hub (RBIH) is developing a digital Public Tech Platform, aiming to create a seamless lending environment.

Progress Through Collaboration

Collaboration is critical to the success of ClearDu's NPA Resolution Platform. We invite financial institutions and businesses to collaborate and become a part of this innovative ecosystem. We can set the groundwork for a financially robust India, where bad debt is no longer a barrier to prosperity.

Finally, India's first NPA settlement Platform is poised to reshape the debt settlement market by providing stakeholders with cutting-edge tools and tactics. We welcome you to join us on this transformative journey as we work together to create a dynamic ecosystem that e?ectively addresses bad debt and propels India's financial rebirth.

Smooth Integration for Quick Resolutions Efforts:

ClearDu's NPA Resolution Platform is an easy-to-use interface that allows for seamless integration and navigation for all stakeholders. Our platform enables customers to make informed decisions and take timely action by allowing them to upload and manage debt data as well as obtain real-time progress statistics.