Creditas Solutions plans global expansion

By on April 22, 2021 0

Creditas Solutions, a technology company that provides delinquency management solutions to banks and FIs digitally, plans to go international this year. He hopes to partner with at least two banks in the West and Southeast Asian markets, his co-founder Anshuman Panwar said.

“Over the past 2-3 months, we have received many incoming inquiries from West and South East Asia. We are looking to move into new markets. We hope to involve 2-4 banks on our first international foray into these markets to test the waters. Then, depending on the results, we will increase that, ”said Panwar. Activity area.

At the same time, it’s not that the focus of this six-year fintech will be entirely shifted overseas, he added.

Creditas had, about three years ago, raised capital from a handful of angel investors, and this year also more capital will be raised for investment in technology and international expansion, he said. added.

Creditas Solutions, which is currently working with 11 private banks and NBFC, will soon make an effort to work with public sector banks as well, especially given the huge market opportunity that public sector banks have provided, Panwar said. .

It usually takes a long time to remove mandates from public sector banks, but efforts will be made this year to integrate them, he said.

Creditas Solutions, which is expected to close the current fiscal year with revenues of around ₹ 100 crore, expects to achieve annual revenue of ₹ 1,000 crore over the next five years, Panwar added.

Creditas helps banks collect their loans and uses the latest concepts such as artificial intelligence to speed up the process. Being digital allows lenders to dramatically improve collection performance.

A major boost

He said Covid-19 gave Creditas Solutions a major boost as several banks could use fintech’s digital collection services during the lockdown. “After using us, banks also realized the opportunity gain by using digital recovery solutions,” he added. Panwar said Creditas’ solutions are also being used by banks for restructuring.

The bounce rate – the percentage of people who did not pay – was between 10% and 18%, depending on the different portfolio types and products of banks across India. During Covid-19, that rebound rate had climbed to 40 percent, and after October of last year, it began to decline to 25 percent in mid-March of this year.