Nucleus to provide cloud-based digital transformation services to Muthoot Fincorp

Publicly listed fintech solutions provider Nucleus Software on Tuesday said it will provide digital transformation services to non-banking financial company (NBFC) Muthoot Fincorp.

The NBFC expects the cloud-deployed solution to use data-driven decision making solutions to improve its credit risk management and accelerate its loan lifecycle processes, according to a statement.

The cloud lending solution, FinnOne Neo, is a multi-channel end-to-end offering, which helps digitise the loan lifecycle process -- from initial contact with customers to making better credit decisions faster to providing a comprehensive loan servicing and delinquency management solution.

The partnership will add to Muthoot’s ongoing digital transformation initiative, Digital Blue. In April 2020, Muthoot signed on information technology (IT) services firm UST Global to aid with its digital transformation initiatives. In July, the Muthoot Group partnered with omnichannel customer engagement platform Ameyo for a video KYC (know-your-customer) solution to reduce the customer onboarding period for its Loan@Home service.

“Covid-19 is going to change the way we do business and how we function. We know that technology will be critical to help us address the challenges… This solution will enable us to drive innovation into our operations, support our continuous growth and enable us to provide our customers a complete digital experience,” Thomas John Muthoot, chairman and managing director at Muthoot Pappachan Group, said.

Retail loans provider Muthoot Fincorp is a subsidiary of the 1887-founded Thiruvananthapuram based Muthoot Pappachan Group, which operates over 3,600 offices. 

On the other hand, Nucleus Software, founded in 1986, provides lending and transaction banking products to over 150 companies across 50 countries to support services such as retail banking, corporate banking, cash management, internet banking and automotive finance.

Other NBFCs that have adopted FinnOne include Esskay Fincorp, Finova Capital, TAB Capital, Essel Home Loans, Manappuram Finance and Shubham Housing Development Finance Company.

Apart from FinnOne Neo, Nucleus also provides two other trademarked services – FinnAxia and PaySe.