Company Profile
Challenges Before FawksAI
- 1-day reminder notices — too late for borrowers to arrange funds
- 60% pickup rate — agents calling from unknown personal numbers avoided by borrowers
- No compliance documentation — RBI audit found irregular practices, regulatory risk
- ₹8L/month 35-person collections team not achieving industry-average default rates
- 2–4 hour delay in disbursement notifications creating duplicate enquiry calls
The Collection Problem That Costs Indian NBFCs Crores Every Month
QuickCapital Finance — a Hyderabad-based NBFC with ₹420 crore AUM and 28,000 active borrowers — had a collections team of 35 people costing ₹8 lakhs per month. Despite the investment, their EMI default rate was 9.2% — well above the industry average of 6%.
The problem wasn't the team's effort. It was the tools. Collection agents were calling from personal numbers that borrowers didn't recognize and therefore didn't pick up. Reminders went out only 1 day before the EMI — not enough time for borrowers to arrange funds. And every call was undocumented, creating serious regulatory exposure.
Four Systemic Failures in Traditional NBFC Collections
- 1-day reminders were too late: Borrowers need 5–7 days to arrange funds from salary, business income, or family. A 24-hour notice results in defaults even from willing borrowers
- Unknown caller IDs killed pickup rates: Agents calling from personal numbers achieved a 60% pickup rate. Borrowers actively avoided calls from unknown numbers, especially for financial matters
- Zero compliance documentation: An RBI audit found inconsistent collection scripts, undocumented call outcomes, and no proof of the mandated "offer of assistance" language required by RBI's Fair Practices Code
- No disbursement automation: Loan disbursement notifications were sent manually — a 2–4 hour delay between fund transfer and customer notification, creating confusion and duplicate enquiry calls
FawksAI Deployment: Compliant, Automated, Multilingual Collections
EMI Collection Workflow — RBI-Compliant Automation
All calls are made from QuickCapital's verified business number — not unknown personal numbers. Pickup rate increased from 60% to 88% after switching to branded outbound calling. Every interaction is logged with timestamp and outcome for RBI audit readiness.
RBI Compliance Built Into Every Call
FawksAI's collection scripts for QuickCapital were reviewed and approved by the company's compliance officer before deployment. Every call includes the mandated Fair Practices Code language, offers the borrower an opportunity to discuss repayment difficulties, and is recorded with full transcript. The compliance team can export a full audit trail — call timestamp, borrower identity verification, script adherence, outcome — for any regulatory review.
Results at Month 4
Before FawksAI, our collection agents were calling borrowers from random numbers and getting ignored. Now every call goes out from a recognised QuickCapital number in Telugu or Hindi, the AI gives 7-day advance notice, and our default rate is below industry average. The RBI audit compliance piece alone made this worth it — every call is logged and timestamped.
The Regulatory Case for AI in NBFC Collections
RBI's Guidelines on Digital Lending and the Fair Practices Code for NBFCs create specific documentation requirements for collection calls: calls must be made at reasonable hours, must offer the borrower an opportunity to discuss difficulties, must not use coercive language, and must be documented. Manual collections almost never achieve 100% compliance with these requirements. AI collections can be designed for 100% compliance by default — with every call identical in structure and fully logged.
As RBI increases scrutiny of NBFC collection practices, the regulatory risk of non-compliant manual collections is growing. AI collections automation is becoming a risk management imperative, not just an efficiency play.