Fintech firms must develop smart tech to collect money: Zestmoney CTO Ashish Ananthraman

Indian Rupees. Photo: Pixabay

A sharp rise in lending products and services across e-commerce marketplaces, consumer internet products, traditional fintechs, mobile wallets, pay-later products and others are helping people access credit more easily in India. Several of these startups now claim to have sufficient data on potential users to perform alternative credit scoring that can speed up disbursal of credit directly into bank accounts in less than 24 hours.

Most consumer startups and fintechs do not have a non-banking financial company (NBFC) licence and depend on their banking or NBFC partners for repayment of loans. However, industry experts such as ZestMoney’s chief technology officer Ashish Ananthraman say that there is an opportunity to build technology features for repayment of loans as well. Edited excerpts of an interview:

How does an online lending platform build parallel tech on both credit scoring and collection?

If you are building tech or a platform to disburse money, whichever the mode of payment it is, it is equally important to build a stronger solid platform to collect the money back. Technology needs to be built end-to-end, else it is only a half-baked solution. It means that apart from the onboarding experience for the customers, loan collections should be equally smooth as well. At ZestMoney, we are focusing on collections as an important part of the user experience on our platform.