Top 4 Reasons How Automated Reminders Improve Collection Rates. For NBFC Owners, Collection is not just a department, they decide Liquidity, Credibility, and Confidence. Even a small delay in repayments can disturb Cash Planning and increase daily stress. Surprisingly, many collection issues do not start with defaults, but with Missed Communication.
This is where Automated Reminders quietly change outcomes.
Collections Problems Usually Start Before Due Date
In many NBFCs, Follow-Ups begin only after an EMI is missed. By that time, the conversation already feels Corrective instead of Preventive. Borrowers become Defensive, Trust Weakens, and Collection Teams start working in Recovery Mode rather than simple reminder mode, making the process stressful and less effective for both sides.
Common ground realities include:
- Staff forgetting Follow-ups during Busy days
- Borrowers missing Dates unintentionally
- No Uniform Reminder Pattern
- Late reaction instead of early action
Automation fixes the timing problem, not by pressure, but by structure.
Reason 1: Early Reminders Prevent Delays Before They Happen
Automated Reminders reach Borrowers before the Due Date, not after a problem starts.
This early Communication prepares Customers in advance, reduces last-minute excuses, improves payment planning, and creates a smoother, more predictable Collection Cycle.
This helps NBFCs:
- Prevent Accidental Delays
- Reduce Last-Minute Panic
- Keep repayments predictable
Most customers pay on time when reminded on time.
Reason 2: Collection Teams Stop Chasing, Start Managing
Without Automation, Collection Team have to spend energy remembering who to call rather than what to resolve.
Time is lost in Checking Lists, Verifying Dates, and Tracking Past Follow-ups, leaving less focus on genuine issues that actually require discussion and resolution, especially in high-volume portfolios.
Automated reminders:
- Handle routine nudges
- Free teams for Problem Accounts
- Reduce call Fatigue
Teams move from chasing payments to managing recoveries.
Reason 3: Owners See Reality, Not Just Verbal Updates
Many NBFC Owners rely on end-of-day or weekly verbal updates.
Automated Systems change this completely by providing Real-time Visibility, Structured Data, and Clear Performance Insights without waiting for Manual Reports or meetings.
Owners get:
- Clear view of Paid vs Pending EMIs
- Reminder Status Visibility
- Real overdue trends
Decisions are based on data, not assumptions.
Reason 4: Polite Reminders Protect Customer Relationships
Aggressive Follow-Ups damage trust and often create resistance among borrowers.
Automated Reminder System are neutral, professional, and timely, reducing emotional friction in communication. They deliver clear Information without pressure, helping Customers respond positively and maintain a cooperative Repayment Relationship over time.
This leads to:
- Lower Conflict during Collections
- Better Borrower Cooperation
- Long-term relationship stability
Good Collections do not require pressure, they require Clarity, Consistency, Timely Reminder, and a System that Reminds Borrowers toward on-time Repayments naturally.
How Technology Helps NBFC Owners?
When Reminders are Automated, Follow-up Lists generate themselves, and Reports update Instantly. Owners are no longer reviewing registers or asking for status updates.
Their attention shifts to:
- Portfolio health
- Risk exposure
- Expansion planning
Technology removes noise from daily operations by eliminating unnecessary Follow-ups, reducing onfusion, Improving Visibility, and allowing teams to focus on meaningful, value-driven work.
Why Some NBFCs Collect Better Without Working More
Many NBFCs assume better Collections need more staff or stricter calls.
In reality, they need better timing and visibility.
An NBFC Software ensure:
- No EMI is forgotten
- No Follow-up is delayed
- No Account is ignored
Collections improve because the process improves.
Where Fycis Fits Into This Change
Top 4 Reasons How Automated Reminders Improve Collection Rates. Automated reminders work best when they are part of a connected operational system, not a standalone tool.
Fycis helps NBFCs organise collections through structured reminders, real-time tracking, and clear visibility across portfolios. Used by 200+ Businesses, Fycis supports NBFC owners in running collections as a process not a daily struggle. When reminders run automatically, leadership stays focused on growth, not follow-ups.
Top 4 Reasons How Automated Reminders Improve Collection Rates.
