Category: Finance


How the digital lending is being adopted by banks in 2018

In traditional lending, a risk profile assessment of the borrower’s credibility is done through a proxy. This essentially evaluates the capability and pattern of behavior of the borrower towards repayment of a debt. For people with a credit history, this is done in the form of previous debt repayment history.

Why digital lending is important in 2018?

For people who have no financial history, this can get complex. After a cumbersome data collection by the bank’s staff to assess the borrower’s disposable income, a loan is issued. A hefty interest rate is also levied for people without credit reports. Digital lending aims to create an online platform to directly originate loans to customers, as well as small to medium enterprises. This also automates some of the loan application processes through the use of electronic data, digital signature, automated underwriting and document capture.

This automation process is done through a bank developed technology, which resides on the bank’s servers itself or can be offered as a software.

Non-bank lenders have already created a market by creating and meeting various demands of borrowers that banks do not accommodate. Unusual credit profiles are evaluated and accepted. Whereas these non-bank lending systems started with the traditional and limited range of loan types for lending, they have extended services towards meeting mortgages, student loans, and even commercial real estate loans. They have also created agile, online lending solutions. This not only puts the banks at the risk of losing accounts but also put debtors at the danger of falling into debt traps and later getting exploited. Overall, this puts the entire economy at risk. To avoid this, digital lending at  is being adopted by . This range of automation has enabled the banks to be able to deliver loans quickly while maintaining the original compliance and pricing practices which is much less risk for borrowers.…


‘Tips How to Decide Whether to Buy or Build a House’

If you’re planning to switch your home, chances are that you might be confused regarding whether you should buy a house or build one for yourself. We make the task easier for you by giving you important tips so that you can decide whether you should buy a house or build it. We’ll draw a comparison between both the options so that you can compare, contrast and then, choose the best option for yourself!

Factors to keep in mind while deciding whether to build or buy a house:

  • Time constraint: While building a house takes a longer time period, buying a house is a quick procedure. If you do not have much time in your hands and need to move out urgently, then it will be better for you to simply buy a house instead of building it.
  • Newness: If you are the kind of person who wants to have everything customized and as per your needs only, then building a house is a better option for you. After all, who wants to spend more on renovation than the creation of something new?
  • Up gradation costs: In case that you presently don’t have enough money to get all the things that you want in your home, you must buy a house. Buying a house will save you from the burden of up gradation costs. Up gradation, in that scenario, can wait for the time when you have adequate money to fund it.
  • Well-structured home: Sometimes the old homes are designed in a very ill fashion. Given that a well-structured home is your priority and you cannot just settle for an ill structured home, it’s better for you to build a house.

While these tips will help you in deciding whether to build a house or buy it, will assist you in getting the funds; be it for building a house or buying it!…