Each NBFC has its own way to deal with collection mandate: Ramasubramani P, Montran Corporation

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In today’s era, be it small or big Non-banking Financial Companies (NBFCs); collection model is the primary concern. Each NBFC has its own way of dealing with the collection mandate. We are trying to give a solution in such a way that it makes more convenient for organisations in terms of what they want to do or how. Basically the organisations can customise it according to their convenience that is the thought behind this collection process, says Ramasubramani P, Head Client Services and Operations, Montran Corporation during Elets 7th NBFC100 Tech Summit in Chennai.

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This model has been segregated into two parts; initiating and setting up a periodic settlement and transaction processing. 

As far as payments are concerned, digitisation has become a hot topic these days. Digital India is one of the greatest drives happening under the guidance of the Central Government. Talking about disbursement, customers are becoming more and more demanding, with more and more NBFCs around. So how do you think you are going to position yourself in front of the customer? 

In recent years, non-banks, particularly Non-banking Financial Companies (NBFCs), have outperformed banks in new credit deployment. By leveraging technology to penetrate underserved segments, NBFCs have capitalised on the inability of banks to rapidly scale operations and customise rigid policies. NBFCs have seen a significant increase in their share of total new disbursals at the cost of Public Sector Banks. On the basis of functional architecture, Montran’s applications will prove to be a singular solution where you may use any code banking system. This system will prove to be an interface between your payments and back-office channels. So, when you initiate a loan booking from your system, from there it takes the feed, does mandate managing, send across according to rules and also gets the responses in case of rejections. 

The Indian economy has been on a positive trajectory in the amount of formal credit deployed, supplemented by rising consumer disposable income and ease of access to credit. Credit off-take has grown by 11percent over the last 10 years, led by public and private sector banks. However, despite overall credit growth, India still remains under-penetrated in retail and Micro, Small, and Medium Enterprises (MSMEs) lending, with household credit to GDP2 ratio lagging several major emerging and developed economies. The opportunity has driven several non-banks to enter the retail lending space, through the use of innovative lending models and product innovation.

‘Customer is king’ has never been truer than it is today. With lenders incorporating technology advances to penetrate underserved markets and differentiate in mature markets, customer expectations have evolved. The proliferation of new entrants with differentiated business models to serve customers is also increasing pressure on existing, incumbent NBFCs to increase customer focus. 

Customers now demand seamless, personalised, 24X7 interactions across multiple touch-points, customised to their needs. This will require NBFCs to embrace techniques to derive customer insight, such as customer personas and journey maps, enhance their understanding of customer behavior and subsequently drive-up meaningful outcome. 

Winning the customer experience race will require much more than just technology; it also mandates a new attitude to win the customer.


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