Collections Dossier: Feb 2024

Move fast, think slow: How financial services can strike a balance with GenAI

Financial institutions are increasingly adopting generative AI (GenAI) to enhance efficiency and improve customer experience. However, effectively navigating this technology presents significant challenges. While GenAI offers opportunities for streamlining operations and enhancing customer satisfaction, its implementation demands a careful balance between expediency and caution, particularly concerning issues like data security and regulatory compliance. Despite inherent risks, early adoption remains imperative for sustaining competitiveness and fostering employee skill development. Therefore, financial institutions must strike a balance between prudence and urgency as they integrate GenAI into their operations.

Read this report by PwC, which outlines five steps for striking this balance and successful GenAI integration: aligning with enterprise strategy, preparing the organization with training and protocols, building development tools, embedding responsible AI practices, and selecting and prioritizing use cases based on value, complexity, and reusability.

The future of the payments industry: How managing risk can drive growth

In the coming year, the payments industry faces heightened risk levels, increasing regulatory scrutiny, and substantial shifts in global standards. There is a transformative shift in the payments industry towards a "decoupled era," where payments become detached from accounts and are dominated by emerging technologies. Heightened customer expectations for convenience, affordability, and security necessitate payment companies to differentiate themselves through superior service offerings. Notably, this evolving landscape presents an opportunity for the risk function to extend its role beyond threat management, becoming a facilitator of growth and innovation within the industry.

Read this report by McKinsey, which underscores the evolving role of the risk function, urging payment service providers to enhance risk management processes to ensure regulatory compliance and mitigate fraud, address operational resilience, and revamp credit and collections processes to adapt to changing economic conditions and regulatory requirements. Additionally, the report also advises leveraging risk as a catalyst for growth, suggesting strategies such as market expansion into previously deemed risky segments, commercializing risk management capabilities as a service, and enhancing servicing operations through technology adoption.

In navigating the landscape of significant risks and regulatory scrutiny, payment service providers are urged to proactively manage risks while identifying growth opportunities to bolster performance and differentiation in the competitive market.

The Importance of Compliance in the Debt Collections Industry. Here's how it works.

Compliance is emerging as the guiding star for the debt collection industry, encompassing legal adherence, ethical conduct, consumer protection, data security, risk management, and regulatory alignment. As India aims to become a $5 trillion economy, compliance will be crucial in promoting transparency and trust, especially with the sector undergoing technological advancements.

Read this article by Mayank Khera , Co-founder and COO, Credgenics, in ABP Live where he highlights the regulatory landscape in India while emphasizing the importance of compliance in safeguarding the well-being of both creditors and debtors. He further underscores the increasing significance of digital tools, AI, and machine learning in compliance management for debt collections and how it is steering industry practices toward fairness, ethics, and legal integrity, ultimately fostering trust, credibility, and sustainability amidst evolving financial landscapes.

Insights on Union Budget 2024

The Interim Budget 2024 presented by Finance Minister Nirmala Sitharaman demonstrates a strong focus on generating employment opportunities, driving economic growth to the next level, and boosting the start-up ecosystem in India.

Rishabh Goel , Co-Founder and CEO, Credgenics shared his insights on the Union Budget 2024 with the media. He stated that the key initiatives outlined will promote healthy growth across industry sectors and encourage more businesses to innovate.

Furthermore, in a bid to sustain the growth momentum of existing startups, the government has extended tax benefits by an additional year. The sanctioning of 43 crore loans under the PM Mudra Yojana, totaling Rs. 22.5 lakh crore, is fueling the entrepreneurial aspirations of the Indian youth and fostering a culture of innovation and self-reliance.

The entrepreneurial community is delighted by the progressive approach and sustained support from the government. As stakeholders, we eagerly anticipate contributing to the ‘Make in India’ initiative, aligning with the vision of creating a ‘Viksit Bharat’ by 2047. Read more.

National Start-up Day: Junking valuations, founders finally focus on real market needs

In 2023, startups encountered challenges in securing funding, particularly for growth-stage firms. The year underscored the crucial need for efficient management of limited capital, prompting founders to concentrate on sustainable businesses with robust unit economics. Investors in 2024 are expected to show a preference for companies charting a course toward profitability. The prevailing consensus among stakeholders is that addressing challenges requires a focus on identifying genuine market needs and they are now prioritizing data-driven decision-making, resource optimization, and the cultivation of a resilient organizational culture.

On National Start-up Day, Anand Agrawal , Co-founder and CPTO of Credgenics, a debt collections soonicorn, shared insights with Outlook Startup and Republic World, emphasizing that startups successfully navigating past uncertainties are better positioned to capitalize on emerging trends and evolving consumer needs. He added that identifying genuine market needs and making data-driven decisions is essential for long-term sustainability. Read more.

India's Credgenics makes debt collection smarter with data and digitization

Credgenics remains at the forefront of powering innovation in financial services, challenging traditional approach in areas where digitization was once deemed challenging. It has transformed debt collection practices with its digital-first and data-driven model, thereby fostering a healthy lending ecosystem.

In an interview with the Japanese publication, TECHBLITZ, Co-founder and CEO of Credgenics, Rishabh Goel , elucidates the company’s inception, mission, and pivotal role in transforming debt collections and propelling efficiency gains for financial institutions. Furthermore, he highlights the company’s forward-looking approach, positioning itself for future growth by expanding the product capabilities, exploring new industry segments and expanding its footprint in new markets. Read more.

Five interesting AI startups in Delhi

India has solidified its position as the third-largest global hub for startups, experiencing substantial growth in recent years, bolstered by government initiatives like Startup India. The rapid and impactful adoption of AI technology by entrepreneurs has been evident across diverse sectors such as healthcare, commerce, and software engineering.

As of 2025, the AI industry in India is projected to reach a valuation of approximately $126 billion, underscoring the indispensability of AI for businesses amid the widespread use of remote work and increasing technological reliance.

One noteworthy player in the landscape of AI startups in Delhi is Credgenics. Recognized as one of the five interesting AI startups in India by the publication INDIAai, Credgenics has carved its niche by leveraging AI to provide a unified interface for users to efficiently manage all aspects of collections and repayments. This positions Credgenics as a leader in AI-driven solutions, playing a significant role in shaping the evolution of the startup landscape in India. Read more.

The future of AI-driven solutions in digital lending

In the evolving financial services landscape marked by shifting customer preferences, regulatory changes, and a competitive paradigm, the fusion of AI with digital lending is emerging as a key driver for change. AI is emerging as a key player for competitive advantage and efficiency, redefining processes and elevating the customer experience to a whole new level. This transformative impact extends to Indian MSMEs, where fintech, powered by AI, ML, and Big Data, constructs a resilient digital lending ecosystem, aiming to bridge the credit gap for micro-entrepreneurs.

Read the blog 'The future of AI-driven solutions in digital lending ' to explore various ways in which BFSI is benefiting from AI integration, understand the driving forces behind AI innovations, and gain insights into how AI in digital lending is a boon for India's MSMEs.

Introducing Loan Resolution capability at Lok Adalats

Credgenics is delighted to announce the launch of a new initiative to facilitate speedy and cost effective resolution of loan disputes involving institutional lenders and borrowers at the pre-litigation stage through Lok Adalats, across various loan segments, products, and Days Past Due (DPD).

The initiative has already seen success with Lok Adalats in Noida, Haryana, and Rajasthan, yielding remarkable outcomes and insights, with an impressive 86 percent of respondents expressing a willingness to settle cases at the pre-litigation stage, and a notable settlement ratio of 81 percent, particularly in secured low-ticket contactable cases.

These findings highlight the effectiveness of Credgenics’ approach in streamlining the dispute resolution process and fostering cooperation between institutional lenders and borrowers, ultimately contributing to a more satisfactory outcome for all parties. Watch the video to learn more about this capability.

CG Collect for Field Debt Collections

Field debt collections that are dependent solely on agents may be inefficient, result in cash leaks, lead to process delays, and incur a huge cost to collect. They pose significant hurdles for field collections teams and their managers. Credgenics’ award-winning CG Collect field debt collections mobile app offers a comprehensive solution by effectively tackling these challenges, providing field collections teams with robust Feet-On-Street (FoS) management and the digital enablement of processes.

Key features include complete digitization of field collections, instant visibility on field operations performance and tracking,geo-tagging, and proof of visit for effective agent management, reduction in reconciliation errors, simplified visit management; a boost in digital repayments, OTP-based verification at deposit centers. Explore more about Credgenics’ CG Collect app for field collections and supervisors.

Credgenics Collections Technology Platform

Credgenics has earned global recognition as the leading provider of loan collections and debt resolution technology platforms to banks, non banking finance companies (NBFCs), FinTechs, and ARCs. Our AI-powered SaaS-based platform has been twice recognized as the #1 Best Selling Loan Collections Platform in India by IBS Intelligence in their Annual Sales League Table for 2022 and 2023.

Some incredible achievements and growth milestones that have firmly positioned Credgenics as the preferred choice for over 100 lenders include touching an overall loan book worth USD 60 Billion managing 11 million retail loan accounts, and sending an impressive 70 million digital communications every month. With Credgenics, lenders have experienced 60% improvement in legal efficiencies, 55% reduction in contact center cost, 30% decrease in collections time, 27% higher number of recoveries, and 20% increase in resolution rates.

In the dynamic landscape of debt collection, watch the video to learn how Credgenics has transformed debt collection processes and achieved outstanding results.

Accelerate borrower connect with Credgenics Predictive Dialer Solution

Collections agents engaged in high-volume outbound calls often face prolonged idle times while waiting for borrowers to answer. This can lead to diminished productivity and suboptimal collections rates. Credgenics Predictive Dialer comes with automated dialing integrated with AI ensuring that your collectors are consistently engaged in conversations with borrowers.

With its advanced calling features, you can experience up to a 5X increase in call connection rates, efficiently screen out unproductive calls, including answering machines, busy signals, and disconnected numbers, and actionable insights into collector performance, tracking metrics such as the number of calls made, call duration, and success rates.

Read the blog ‘Accelerate borrower connect with Credgenics Predictive Dialer Solution ’ to understand what makes Credgenics Predictive Dialer unique for debt collections.

Credgenics Infocus: How is CG Collect field collections app streamlining operations for agents and field managers?

In rural areas, field collectors encounter significant obstacles stemming from unreliable internet connectivity, which hinders the timely communication of daily collections to team leads, leaving these on-site visits susceptible to cash leakage and operational fraud. The imperative for real-time monitoring of field collector operations becomes evident, highlighting the need to equip them with digital capabilities for more efficient physical visits.

Addressing these challenges head-on, Credgenics introduces the CG Collect field debt collections app, a transformative solution designed to empower field collectors. This innovative app has features tailored to overcome the unique hurdles faced in rural areas, including offline mode for updating collections entries, instant digital receipt generation with printing capabilities, geo-tagging of the collector’s location, and cash drop service to tackle cash leakages.

To gain deeper insights into the transformative impact of CG Collect on field debt collections, watch Credgenics InFocus with Jalaj Garg, Associate Director-Product at Credgenics, as he delves into this pivotal subject.

Digitizing field collections for a leading rural focussed Neo-bank

A rural-focussed Neo-bank in India, India’s first-ever fully digital Buy Now, Pay Later solution for rural businesses to provide formal credit, sought to streamline collections processes in rural areas. With over 100,000 farmers onboard and a disbursing run rate of over INR 3 billion, their goal was to enhance field agent efficiency and gain tighter control over financial business processes.

After an extensive evaluation of leading technology solutions in the market, the customer chose Credgenics CG Collect mobile app for its right mix of secure, and agile technology framework. This comprehensive solution, integrating a web platform for office personnel and a mobile app for field agents and managers, facilitated real-time monitoring, digitization of collections, and simplified reconciliation processes.

Download this case study to explore how the Neo-Bank digitized field debt collections with Credgenics CG Collect and achieved 2.5X higher field visits, a 6X increase in daily collections, and a 75% increase in recoveries made through digital mode.

Customer Speaks

Credgenics' digital and data-driven capabilities have played a crucial role in elevating Reliance Asset Reconstruction Company’s debt recovery performance. Read what Mehul Gandhi, Chief Executive Officer at Reliance Asset Reconstruction Company Limited, a fast-growing Securitisation and Reconstruction company, has to say about how partnering with Credgenics has been a significant value addition to their pursuit of establishing future-ready debt resolution capabilities.

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