The Loan Management module is a powerful system that enables financial institutions and fintechs to offer various credit products, from traditional loans to modern BNPL and overdraft facilities. It provides a flexible framework for managing the entire loan lifecycle with robust risk management capabilities.

Loan Types & Features

Modern Credit Solutions

Modern credit solutions like BNPL and overdraft facilities are becoming increasingly popular in fintech applications, offering flexible credit options to customers.

Buy Now Pay Later (BNPL)

BNPL solutions typically offer interest-free periods with late fees, making them attractive for short-term financing needs.
  • Split payments into installments
  • Interest-free periods
  • Late fee management
  • Credit limit controls
  • Merchant integration
  • Automated repayments
  • Risk assessment
  • Collection management

Overdraft Facility

Overdraft facilities should be carefully managed with appropriate limits and interest rates to prevent excessive usage.
  • Automatic approval
  • Interest calculation
  • Limit management
  • Repayment scheduling
  • Usage monitoring
  • Risk assessment
  • Collection management
Traditional loans provide structured financing options for various purposes with defined terms and conditions.

Personal Loans

  • Unsecured financing
  • Fixed interest rates
  • EMI-based repayment
  • Flexible tenures
  • Quick disbursement
  • Credit scoring
  • Documentation management

Business Loans

  • Working capital
  • Term loans
  • Equipment financing
  • Invoice financing
  • Business credit lines
  • Collateral management
  • Financial analysis

Mortgage Loans

  • Property financing
  • Long-term loans
  • Collateral management
  • Interest rate options
  • Repayment schedules
  • Insurance integration
  • Property valuation

Loan Lifecycle Management

Loan Operations

Disbursement

Loan disbursement can be automated for certain loan types like BNPL and overdrafts, while traditional loans may require manual approval.
  • Automated disbursement
  • Manual approval workflow
  • Multi-account disbursement
  • Payment tracking
  • Disbursement scheduling
  • Fee calculation
  • Documentation verification

Repayment Management

Effective repayment management is crucial for maintaining portfolio health and ensuring timely collections.
  • EMI calculation
  • Payment scheduling
  • Auto-debit setup
  • Payment tracking
  • Late payment handling
  • Prepayment processing
  • Interest adjustment

Rescheduling & Restructuring

Loan rescheduling should be carefully evaluated to ensure it doesn’t increase portfolio risk.
  • Term extension
  • EMI adjustment
  • Interest rate modification
  • Payment holiday
  • Principal reduction
  • Collateral adjustment
  • Documentation update

Risk & Compliance

Risk Management

Credit Assessment

  • Credit scoring
  • Income verification
  • Employment check
  • Credit history
  • Risk rating
  • Limit calculation
  • Portfolio analysis

Portfolio Monitoring

  • Performance tracking
  • Risk indicators
  • Early warning
  • Collection efficiency
  • Portfolio health
  • Risk concentration
  • Market analysis

Recovery Management

  • Collection strategies
  • Payment reminders
  • Legal action
  • Settlement options
  • Recovery tracking
  • Agent management
  • Performance reporting

Integration & APIs

The Loan Management module provides comprehensive APIs for fintechs to integrate credit services into their applications.
  • RESTful APIs
  • WebSocket support
  • Batch processing
  • Real-time updates
  • Event notifications
  • Webhook integration
  • SDK support

Next Steps

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