A thorough evaluation of the applicant’s credit health is integral to the lending process. Lenders use multiple tools to assess an applicant’s creditworthiness, with bank statement analysis being one of the most crucial. While the Indian banking sector has seen a significant improvement in asset quality, with the gross non-performing asset (GNPA) ratio falling to […]
Credit scoring models are the backbone of the lending ecosystem, enabling lenders, including financial institutions, to evaluate the risk involved while approving loans for every applicant. Traditionally, statistical and linear programming models, often considered the gold standard of credit scoring, were extensively used by lenders worldwide. However, we can see the tides changing as sophisticated […]
The total value of loans in India increased by 11.5% in December ’24 compared to the same period in the previous year. Additionally, the loan growth rate in India remained steady at around 11.8% between 2012 and 2024, highlighting the increasing demand for credit within the Indian economy. Despite these positive trends, around 30-35% of […]
India’s digital lending market has grown from strength to strength. In the financial year 2023-24, the sector experienced a remarkable 49% increase in disbursements, totalling ₹1.46 trillion across over 10 crore loans issued. A significant growth in the number of outstanding credit card dues and gold loans are two major factors driving the demand for […]
Evaluating an applicant’s creditworthiness is essential in the loan approval process. Analysing bank statements for loan approval offers lenders a comprehensive view of the applicant’s credit health. Lenders have traditionally relied on paper statements for credit health assessment. However, as lending institutions continue to digitise and automate their operations, many now offer the option of […]
The demand for credit among diverse audiences in India continues to rise. This has created opportunities for lenders to scale quickly and deliver more value to their customers. For instance, a recent survey indicated that in the Financial Year 2024, Gen Z borrowing amounted to between INR 3.5 and 4 lakh crore. Additionally, millennials had […]
Over the last five years, the fintech industry in India has grown by leaps and bounds. As of September 2024, the combined valuation of all Indian fintech startups was estimated to be $125 billion. However, despite their success story, startups often grapple with a slew of challenges. For instance, the regulations governing fintech startups are […]
Indian banks have written off a whopping $9.9 trillion worth of loans in the last five years, out of which they could recover about $1.84 trillion. It is also worth noting that around 2,623 wilful defaulters owe around $1.96 trillion to banks in India. These figures reinforce the need for tighter scrutiny of the borrower’s […]
India’s digital lending market is on the brink of a revolution, with projections indicating a surge from 1.8% of retail loans in FY22 to an impressive 5% by FY28. This rapid growth is fueled by the increasing demand for convenient, flexible, and swift loan approvals, particularly among younger generations. To capitalise on this trend and […]
Rapidly growing transaction volume and the ever-increasing threat of data breaches make it imperative for banks to look for innovative solutions to ensure quality service, ease and safety to their customers. In this backdrop, cloud computing is reshaping how banks analyse vast amounts of sensitive data, making operations faster and more secure. This technology enables […]
