Advanced and Secured Loan Management System
Project Overview:
How we helped our client in building a Secure Loan Management System
VRFintech is a digital platform that automates every stage of the loan lifecycle, from application to closing. The traditional loan management process is meticulous, time-consuming, and requires collecting and verifying information about applicants, their trustworthiness, and their credibility.
Project Challenges:
Further, the process involves calculating interest rates and supervising payments. VRFintech not only automates these procedures but also provides useful analytics and insights for lenders and borrowers.
Technical Solution:
1. Loan servicing
Every loan type is different; they come with different interest rates, payment durations, and due diligence measures. The servicing features of the loan management system enable lenders to calculate the interest, repayment duration, taxation, etc. It also includes sending out payment reminders, monthly statements, collection of payments, and collection of monthly payments.
2. Debt collection
Collecting the payment back is a crucial feature for any lending business. The loan management system software should be able to notify when the payments are due from the individual borrower, calculate the late fees, do tax calculations on the payment, and send payment reminders to the borrowers. You can also add third-party integrations in the software that would auto-debit the payment from the borrowers’ bank account.
3. Reporting
For a lending business, a reporting and analytics feature is needed to create reports based on interactions with other businesses and individuals, look at the profitability of individual products, and the overall direction that your business has taken.
