KreditBee is a leading fintech platform in India that provides personal loans to salaried customers. To assess the risk of each borrower and make informed lending decisions, KreditBee relies on a robust credit underwriting process.

In 2023, KreditBee partnered with Digitap.ai, a bootstrapped alternate data-based risk management solutions provider, to strengthen its underwriting process. Digitap.ai offers a suite of data-driven solutions that help financial institutions automate their underwriting process and make more accurate credit decisions.

In the ever-evolving financial technology landscape, the ability to provide seamless, efficient, and trustworthy services is paramount. KreditBee, a leading digital lending platform in India, recognized the importance of improving its customer onboarding process and credit underwriting to better serve its customers. In pursuit of this goal, KreditBee partnered with Digitap.ai, an innovative AI and automation solutions provider. This case study explores how the collaboration between Digitap.ai and KreditBee has revolutionized customer onboarding and credit underwriting, enabling KreditBee to provide faster, more accurate, and safer lending services.

The Key Challenges Tackled

KreditBee faced several challenges in its mission to provide easy access to credit for millions of underserved customers:

Complex Customer Onboarding: The existing customer onboarding process was time-consuming, requiring manual document verification and KYC checks, resulting in delays and increased operational costs.

Risk Assessment: The traditional credit underwriting process relied on historical data and conventional risk assessment models, often leading to inaccurate credit decisions.

Scalability: As KreditBee aimed to expand its customer base and product offerings, it needed a solution that could scale efficiently without compromising quality.

Compliance: Ensuring strict adherence to regulatory requirements was essential for KreditBee's continued success.

To address these challenges, KreditBee partnered with Digitap.ai, leveraging its expertise in AI and automation. 

Here are the key components of the solution:

1. Automated Customer Onboarding:

Digitap.ai implemented a fully automated onboarding process that streamlined customer registration and verification. Through advanced optical character recognition (OCR) technology, the platform extracts essential customer information from documents like Aadhar cards, PAN cards, and bank statements. This eliminated the need for manual data entry and reduced the time taken for KYC checks.

2. Real-time Data Analysis:

Digitap.ai's AI algorithms analyze customer data in real time, allowing KreditBee to make instant credit decisions. By considering a broader range of data sources, including social media activity and transaction history, the platform provides a more holistic view of a customer's creditworthiness.

3. Enhanced Credit Scoring Models:

Digitap.ai developed custom credit scoring models for KreditBee, incorporating machine learning and predictive analytics. These models assess the risk associated with each applicant accurately, reducing the likelihood of defaults while increasing approvals for creditworthy individuals.

4. Scalability and Efficiency:

The solution implemented by Digitap.ai is designed to scale effortlessly as KreditBee continues to grow. The automated processes are capable of handling a higher volume of applications without compromising accuracy.

5. Regulatory Compliance:

Digitap.ai ensured that the platform adhered to all regulatory requirements, including data privacy and security measures. This not only protects customer data but also helps KreditBee maintain its reputation as a trusted lender.

“We are excited to associate with KreditBee, and assist them in going live on the Account Aggregator framework for an effective loan sanction process. As a certified Technology Service Provider, we have built capabilities to assess financial data and improve credit decisions for financial institutions. We look forward to being an active contributor to the financial ecosystem and support the country’s financial inclusion imperative.” - Nageen Kommu, Founder and  CEO of Digitap

How Digitap is helping KreditBee smoothen customer onboarding

Digitap.ai is helping KreditBee smoothen customer onboarding in the following ways:

1. Providing multiple modes to source bank statements: 

Digitap.ai offers KreditBee's customers multiple modes to source their bank statements, including net banking, PDF upload, and Account Aggregator (AA). This makes it easier and more convenient for customers to provide their bank statements, which is an essential part of the loan application process.

2. Providing a comprehensive analysis of bank statements: 

Digitap.ai's AI-powered solution analyzes raw bank account statements and provides KreditBee with a comprehensive set of variables that are required in the underwriting process. This helps KreditBee to get a deeper understanding of each borrower's financial behavior and creditworthiness.

3. Automating the underwriting process: 

Digitap.ai's solution automates the underwriting process, which helps KreditBee to reduce the time and effort required to make lending decisions. This also enables KreditBee to process loan applications more quickly and efficiently, which results in a faster and more seamless customer onboarding experience.

Our association with Digitap is a crucial one, as it has helped us improve our risk assessment and underwriting processes. This partnership will allow us to offer our customers more options and better access to credit. We are in the advanced stages to utilize the full potential of the account aggregator framework, through which we aim to strengthen the entire loan disbursal process.''- Madhusudan Ekambaram, CEO, KreditBee  

This is what the KreditBee's CEO has to say about their plan ahead.

Here are a few articles, resources, and other reports on the partnership:

1. KreditBee strengthens underwriting process with Digitap solution (IBS Intelligence)
2. Fintech KreditBee taps Digitap.AI to boost underwriting capabilities (Retail Banker International)
3. Digitap.AI and KreditBee Partner to Strengthen Underwriting Process (CXO Today)
4. KreditBee strengthens Underwriting Process with Digitap AA solution (APN News)
5. Digitap.AI and KreditBee Partner to Bolster Underwriting Process (Outlook Startup)
6. KreditBee with Digitap.AI (Media Brief)

Conclusion

The partnership between Digitap.ai and KreditBee has proven to be a game-changer in the digital lending space. By automating customer onboarding and enhancing credit underwriting processes, it has positioned itself as a leader in providing efficient, reliable, and accessible financial services to millions of customers. The collaboration exemplifies the power of technology-driven solutions in revolutionizing the fintech industry, ultimately benefiting both the company and its customers. 

This partnership is also benefiting lender's customers by increasing their chances of loan approval and giving them better access to credit. Overall, the partnership is a win-win for both companies and their customers. As the lender continues to innovate and expand its services, its partnership with Digitap.ai ensures a bright and prosperous future.

Are you into Lending, Insurance, or Wealth management? Digitap could be your one-stop solution provider in the areas of risk management, customer onboarding, and the entire KYC Compliance. Interested? Let's get started.