NBFC Collection Management Software India — Recovery and NPA 2026

NBFC Collection Management Software India — Recovery and NPA 2026

Collection efficiency is the single most important operational metric for an NBFC's bottom line. A 1% improvement in collection rate on a Rs. 100 crore portfolio is Rs. 1 crore. NBFCs that manage collections with Excel sheets and phone calls lose this money every month through missed follow-ups, unstructured escalations, and poor visibility into portfolio health.

#

Collection Challenges for Indian NBFCs

Bucket Management
Overdue loans are classified by days-past-due: bucket 1 (1-30 DPD), bucket 2 (31-60 DPD), bucket 3 (61-90 DPD), and NPA (90+ DPD). Each bucket requires a different approach — from gentle reminder to legal notice. Without software, this classification is manual and perpetually out of date.

Agent Productivity
Field collection agents cover multiple borrowers daily. Without a structured app, agents decide their own visit order, waste time on already-paid accounts, and have no verification mechanism for their visits.

Soft vs. Hard Collection
Early-stage overdue accounts need soft collection — empathetic calls and payment plan offers. Late-stage accounts need structured legal escalation. Mixing these approaches damages borrower relationships unnecessarily or delays legitimate enforcement action.

Legal Compliance
RBI's Fair Practices Code prohibits harassment in collection. All collection calls must be between 8 AM and 7 PM. Third-party collection agents must be authorised. Violation complaints to RBI or Banking Ombudsman create serious regulatory risk.

#

MICS Collection Management Features

Portfolio Monitoring Dashboard
- Real-time DPD classification of all loans
- Bucket distribution: count and value in each overdue bucket
- PAR (Portfolio at Risk): PAR30, PAR60, PAR90 as percentage of total portfolio
- Collection efficiency: amount collected vs. due in the period
- Trend line: is portfolio quality improving or deteriorating
- Branch-wise and product-wise breakdown

Automated Early Stage Collection
- Day 1 after due date: automated WhatsApp reminder with payment link
- Day 3: SMS reminder
- Day 7: automated call with IVR (interactive voice response)
- Day 15: system assigns to tele-caller for personal call
- All automated communication logged with timestamp

Collection Agent App (Android)
- Daily visit schedule: system assigns accounts based on geography and priority
- Borrower contact details, loan amount, overdue amount visible per account
- Collection recording: amount collected, mode (cash / UPI / NEFT)
- GPS stamp on visit: prove agent reached borrower location
- Photo of premises: for non-contactable borrowers
- Disposition codes: paid, promise to pay, not contactable, dispute raised, moved out
- Promise-to-pay: record borrower commitment with date — triggers follow-up
- Offline mode: record visits without internet, sync on return

Allocation Management
- Bucket 1-2: assigned to tele-calling team
- Bucket 3+: assigned to field agents
- NPA: assigned to recovery officer or third-party collection agency
- Re-allocation: move accounts between agents when agent changes
- Third-party agency: assign accounts to external agency with agreement

Settlement and Restructuring
- One-time settlement (OTS): waiver calculation with management approval workflow
- Restructuring: revised repayment schedule for stressed borrower
- Moratorium: temporary suspension of EMI with interest accrual
- Partial waiver: waive penalty or penal interest to encourage payment
- All modifications with audit trail and approval

Legal Escalation Module
- Legal notice generation: demand notice per account with amount and due date
- SARFAESI Notice (Section 13(2)): for secured NBFCs — auto-draft from loan data
- Notice dispatch tracking: registered post acknowledgement
- Arbitration case filing register
- DRT (Debt Recovery Tribunal) case tracking for large accounts

RBI Fair Practices Code Compliance
- Call timing enforcement: system blocks calls outside 8 AM – 7 PM
- Authorisation check: only registered agents can initiate collection contact
- Call recording integration: all collection calls recorded and stored 90 days
- Complaint log: any borrower harassment complaint logged with resolution

NPA Management
- Automatic NPA classification at 90 DPD
- Provisioning computation: as per RBI NBFC prudential norms
- NPA upgrade: reverse NPA on full repayment of overdue amount
- Write-off recommendation: for fully unrecoverable accounts

#

Pricing

| Loan Portfolio | Monthly Cost |
|---|---|
| Up to 2,000 active loans | Rs. 20,000 |
| 2,000-10,000 active loans | Rs. 35,000 |
| 10,000+ active loans | Custom quote |

Free collection software demo: +91 9355273535 | admin@mics.asia