Microfinance, also known as microcredit, is a financial service that offers loans, savings and insurance to entrepreneurs and small business owners who don't have access to traditional sources of capital, like banks or investors. The goal of microfinancing is to provide individuals with money to invest in themselves or their business.
Microfinance focuses on meeting the financial needs of populations that are financially underserved. These are individuals who usually lack the credit or resources to secure a loan and are unlikely to get approval from traditional banks. Typically, these consumers are seeking small-denomination loans to finance the purchase of a specific equipment, or the capital to start a small business.
For micro finance institutions, verifying the identity of the customer is very important and in many cases is mandatory. Maximus offers an identity management solution through which MFIs can verify the identity of citizens, through citizen ID & biometric and can be verified through a centralized system or bank's internal bio-metric database. The bio-metric devices are STQC certified, which can be used in a micro-ATM or as an attachment to the smart phones. This solution would help banks in getting the verification done in quick time and overall reducing the time of the entire microfinance life cycle.
Maximus offers a solution in which, MFI agents can collect documents and information to open either a savings or loan account. Once the savings or loan accounts is opened and the loan repay cycle starts, the MFI agent can visit the customer and collect the amount through card + PIN or cash or bio metric authentication. The solution covers different ways to authenticate the customer and carry out the transactions.
Card Management System
The card management solution is designed in a way to issue cards to end customers who can use these cards to withdraw the cash using micro-ATMs via the MFI agents. This solution can act as a centralized solution catering to multiple MFIs, with the Omni Channel Switch. All the cash withdrawal transactions are recorded in the central database and can be verified anytime through a UI for audit or reconciliation purpose.
Multi Function Kiosks
Maximus offers Multi Function Kiosks (MFK) solution for microfinance services like account opening, cash deposits or to access information related to loans etc. If MFIs are issuing passbooks then, the same could be printed through the kiosks. The solution can be used for printing of statements, raising other service requests, lodging of any complaints regarding any transaction disputes, to check balances or view the transaction history or the EMI payment cycle. The Multi Function Kiosks management system which is capable of handling cash deposits as way of collecting the EMI. The kiosk solution can also be used as for displaying important information for clients.
Maximus offers reconciliation solution which has the capability to reconcile transactions by providing a reports & dashboards on the loan disbursed, daily EMI collected, analysis of demand vs collection, agent performance etc. The solution can compare the bank statements against the demand sheet, calculate penalties for non-payments, overdues, partial payments and adjust in the next demand cycle. It can provide analytical reports, NPAs, alerts through SMS /emails as per requirements.