Essential Features of the NBFC Software

1. Essential Features of the NBFC Essential Features of the NBFC Software Software A Non-Banking Financial Company is an entity incorporated as a company under the Companies Act, 2013 and operating as per the regulation of the Reserve Bank of India. It performs functions that are very similar to that of a bank but differs from them in a number of ways like organizational structure, a payment- transaction system to name a few. Non-Banking Financial Companies play an essential role in promoting the growth of small-scale industries in the country, by tending to the financial needs of those customers which are not seen as creditworthy by the banks. Further, it has been noted that NBFCs take a lead role in providing financial services to Micro, Small, and Medium Enterprises (MSMEs) whichever shall be most suitable to their business requirements. Hence these play a crucial role in the development of an economy. Why Is There A Need For NBFC Software? 1.For a smoother functioning of such enterprises, such dedicated software is required which ensures that the operations and management are carried on without a glitch. Also, the software must be able to deal with all types of loans and facilities which the NBFC provides. 2.The software which is fully secure web-based management service shall enable the NBFC in going paperless and make the loan mechanism and its component an online procedure.

2. Essential Features of the NBFC Essential Features of the NBFC Software Software 3.The NBFC Software also should assist in marking a strong web-presence, which in turn help in reaching out more clients and expansion of the enterprise. What Are The Features Essential To The NBFC Software? 1.Most important feature which NBFC Software must have is related to the security aspect since the NBFC deal with confidential information of various individuals and entities which they serve as clients. To ensure their security is of foremost importance. 2.The software must specifically be designed as per the needs of the NBFC, its type, size, and scale of operations. 3.The entire loan cycle of the loan management should be covered with equal efficiency, which may include following: ❖Loan Product definition, ❖Approval, ❖File Processing, ❖Document management, ❖Loan Amount Calculation, ❖Billing, ❖Processing of Loan Accounts, ❖Disbursement,

3. Essential Features of the NBFC Essential Features of the NBFC Software Software ❖Installment and Penalty/ Late fee calculation ❖Reminders of upcoming Installments ❖Policy Allotment ❖Monthly Statements ❖Agent Commission Statement ❖Foreclosure, ❖Repayment, ❖Termination etc 4.It is also essential that such software is user-friendly and easy to be operated. 5.The reports formed by the software must be customizable as per each transaction or as per the requirement of NBFC or client. 6.It is also vital that the software is capable of adapting to the changing rules and regulation regarding operation of the NBFC. Automating the NBFC business is need of the hour to which most enterprises will have to catch up rapidly. There are some known NBFC software names in the market and many are catching up establishing their consumer base. With the rising of Non-Banking Financial Companies and the increasing client numbers resulting in a boom in the business, NBFC software is sure to rule, but only when it is able to fulfill the business requirements and pay heed to security concerns.