INTRODUCTION
Corporate & SME Banking
Corporate and SME loan portfolio of any universal bank contributes to anything between 50-70% of the overall loan portfolio and hence is considered very important source of revenue. So, how does a bank differentiate itself from its peer banks and become a leader in this space? Can the bank differentiate itself based on pricing or product offering? The answer maybe ‘No’ as corporate business is mature business and the players are quite evolved in terms of pricing offers and product basket. The current differentiation maybe in terms of personal relationship between bank and the client. The strength of this relationship depends on how fast a bank is able to provide the approvals without compromising on the credit quality and subsequently offer a seamless experience to the customers.
This clearly highlights the importance of service delivery. Some of the key areas which a bank needs to focus while ensuring optimum service delivery standards would be:
- How does the bank process the proposal with transparency and information sufficiency in the shortest possible time without compromising on credit quality?
- How does the bank ensure that post disbursement monitoring is robust?
- How does the bank exercise comprehensive control over loan portfolio by having all relevant information extracted as and when it is required?
- How does the bank have strong early warning systems to quickly identify problems cropping up before others do?
- Last but not the least, how does the bank make the customer experience seamless and easy?
KreditAccel, Globnx’s comprehensive corporate and SME credit approval and management platform (CAAM) makes life easy for both external customers and internal customers who are involved in the entire process by providing a one single platform for all stakeholders with range of comprehensive features.
KreditAccel helps financial institutions manage the complete loan lifecycle from origination and approva, loan management, risk modelling and reporting & analytics. The solution has been built with a modular approach and API connectivity which makes its integration with the existing bank systems seamless. The solution helps automate credit lifecycle management process, reducing business costs and increasing profitability while ensuring prudent credit controls.
Key Benefits
- Enhance loan origination process i.e. lead generation to submission of credit application for approval.
- Standardise credit appraisal process using standard credit memo and projection formats
- Provide additional tools for credit assessment including incorporating bank’s internal credit rating model in the platform
- Reduce overall credit approval turn-around time; instant generation of minutes and sanction letter
- Facilitate loan limit setup and subsequent disbursement with minimum human intervention
- Strengthen post disbursement compliance via covenant monitoring; support data preparation for external reporting
- Capture hundreds of data points for data analytics including facilitating creation of internal risk model and also other predictive models.
