How Phocket is Using Technology to Make Financial Services Available to Young & Smart Indians
FinTech, as the name suggests is aiding financial activities with the help of technology — whether it’s online payments, booking tickets, shopping or even availing loans, something previously thought as tedious and not possible with just the click of few buttons. As we witness a fintech revolution in India, credit is increasingly becoming accessible and affordable. The Government with its ‘Make In India’ and ‘ Digital India’ initiatives is creating a diverse ecosystem that guarantees seamless lending process and financial inclusion without the hassles of physically going to a bank or any lending institution.
It is expected that by 2020, the global investment in FinTech will touch $45 billion. The number of internet users in India reached 465 million in June 2017 and that’s a huge number of potential consumers for nearly any technology-based innovation including financial ones. Financial inclusion is not a distant dream now for India with 1.2 billion biometric identities generated with the Aadhar Card and 330 million new bank accounts opened. Now the digital boom in India is not just restricted to the urbane populace, tier two and three cities have also started witnessing the digital transformation due to the 4G revolution and the government policies.
With the help of advanced technologies like Artificial Intelligence, Machine Learning, Phocket has been able to provide easy, paperless and hassle-free loans to thousands of people via a mobile app; loans — a process which was previously under the dominion of banks where the procedure was long and tedious, has been made available with a few simple clicks and taps. With Phocket, a regular salaried person, who might not have been able to afford anything beyond the necessities can avail loans ranging from Rs.5,000 to Rs. 1,00,000 for a period ranging from 7–45 days in an effortless, simple and transparent manner for multiple purposes like Meeting EMIs, Credit card payment, Education loans, Travel loans, House Renovation, Medical Emergencies, Shopping, and even for Festivals or Celebrations. The Phocket Mobile App is highly intuitive and user-friendly. The documentation requirement is minimal and the loan is transferred within an hour or so to the provided bank account of the user. This is helping bridge the gap for professionals not wanting to avail a loan from the bank due to the long tenure of personal loans or even those who do not want to go for the traditional brick and mortar loan providing institutions.
Phocket primarily uses Digital Marketing to acquire new customers — running optimized and targeted Ads on Google, Facebook, twitter — reaching more customers in the most economical and practical manner. The USP of Phocket is generating unique content on its social media handles which helps in maintaining a better relationship and user engagement with our current and prospective customers. The marketing is an amalgamation of traditional and new age(Digital) activities.
For any Financial operation, KYC (Know Your Customer) becomes very important and at times, it can be a very tedious process. Using the latest technology, Phocket employs innovative ways to perform KYC — a combination of Video Calls, document upload facility directly from Mobile App, automatic validation of uploaded documents and e-signature. Also, these facilities help us generate customer satisfaction over time.
Phocket has developed an AI Powered and Machine Learning driven proprietary credit assessment algorithm — PH Score that acts as a litmus test while approving or rejecting loan applications. Credit decision is based on diverse data points like Social Profile, Connections, Behavioral Pattern, Credit Worthiness, Spending Pattern, Education Qualification, Job History, etc. Even Low CIBIL Score cases or new to credit folks can qualify as there is limited reliance on credit bureau data and hence making them part of the Financial Revolution.
Phocket gives the highest priority to Data Security and Privacy of the Customer’s data. All the data is stored in a highly secure Google Cloud Data Storage. If a customer loan application is somehow not approved, all their data and documents are purged from Phocket’s system.
Once the loan application is approved, the disbursal happens automatically to the recipient’s bank account.
Repayment also happens automatically via NACH Mandate — Electronic Consent to Debit account holder after Loan Completion Tenure. There are automated processes inbuilt within the app to send automated reminders about the repayment amount and due date so that a person can maintain sufficient balance on the due date. In case of late payments or defaults, Phocket uses the technologically advanced collection and pre-collection services, with predominantly automated actions with high efficiency and reputational control.
Thus, the Entire Phocket Application Lifecycle is 100% digital from Customer Acquisition, KYC, Credit Worthiness check, Disbursal, Repayment, Recovery, and Collection.
There is an explosion of fintech innovation and enterprise in India. It has turned India into a leading fintech and Startup nation in the world and Phocket is a proud contributor in this fintech revolution augmented by the advanced technologies and the latest innovation.