Digital Lending Strategy for NBFCs in India

Digital Lending Strategy for NBFCs in India

As we know that NBFCs have different regulations when compared to the banks. Banks are regulated by the Reserve Bank of India (RBI) which also regulates the operation of the NBFCs. Mainly NBFCs are divided into three categories as Loan companies, asset companies, and investment companies. To make it simple, NBFCs is not a bank but it provides its customers with credit facilities with great flexibility in the repayment method of the business loan. NBFCs also have some great features that can attract customers towards it.

Nowadays, NBFCs are facing a lot of challenges and competition because many FinTech companies have been launched recently and are making their presence in the market. Many companies have taken half of the market and attract customers based on their unique services and the interest rate over the MSME loan. NBFCs are also starting to rely greatly on the digital lending strategies to make sure that its customers get good service.

If the NBFCs want to make a place in the digital lending platforms at a high position then they have to upgrade their strategies and they also have to make strategies that will give their customers a great MSME loan interest rate. These strategies are required to be adopted in case if they want to target and reach more customers.

Digital lending strategy for NBFCs in India:-

As we know that the NBFCs don’t have any wide network for loan lending but the business of the NBFCs depends on the two factors i.e. Direct Selling Agents and third parties which will take more time. DSAs will reach to the customers who want to take a business loan and then they give information about the NBFCs and their features. All these processes will take much more time than the bank process. So, therefore, NBFCs have to upgrade their technology and upgrade their strategies.

Optimizing sales cycle

NBFCs are mostly based on the Direct Selling Agents which make the sales of the company but this is not enough. You have to upgrade the technology and you also have to discover more ways to make sales. If the DSAs are making your sales then they have to know all about the product and what you are offering to your customers. Therefore, you have to make sure whenever your DSAs need information they will get that information instantly from the website. You can also save some time and fill up the application form for the MSME business loan in the first meeting. This tip will increase your sale.

Improve operational efficiency

The operational process of the loan lending process is one of the time-consuming processes therefore many customers who want to apply for business loan will find such a company who will deliver them a loan with great speed and great operational efficiency. You have to make the technology upgrade of the NBFCs which will provide their customers with great speed and customer service. You can do all the operational processes online. NBFCs have also launched MSME loan in 59 minutes to save time of the customers with minimal documentation, and also provide them with personalised service with great flexibility and ease.

Improving customer experience:

You have to make sure that your customer will get great offers and they get informed with all the important things about the online business loan. Customers only expect you to provide the correct information, simplicity, personalized, and flexibility in the process.

1. What are the examples of digital lending platforms who are partner with the banks to offer the loan?

RazorPay and PayTM are examples of digital lending platforms who are partner with banks to offer different types of loans to their customers.

2. Can you get an MSME loan instantly via NBFCs?

Yes. You will get an MSME loan in 59 minutes via NBFCs like ZipLoan with great customer service and it will also save more time compared to that while opting from the banks.

3. What are the different categories of NBFCs in India?

There are 6 categories of NBFCs in India such as the Investment and credit company, Infrastructure and finance company, Infrastructure debt and find NBFCs, Gold loan NBFCs, Residuary non-banking companies, and the Account aggregators.

4. What was the aim of the NBFCs when they first came to India?

NBFCs first started as the alternative to the banks to provide the financial needs of the unserved customers.

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