The winds of change: Credgenics shaping debt disputes resolution with its strong ODR framework

The Indian fintech industry progresses rapidly, reshaping our financial landscape. While loan accessibility empowers many, debt repayment poses challenges. Cheque bounce cases congest legal systems, leaving creditors and debtors uncertain. Resolving these complexities is paramount for ensuring financial inclusion and stability.

Fortunately, with the emergence of new-age dispute solutions like Online Dispute Resolution (ODR), the situation has improved vastly. The integration of ODR is crucial for proficiently resolving financial disputes through digital tools, ensuring transparency, expediting conflict resolution, and meeting the evolving needs of modern financial services. innovative features that expedite the debt recovery process. Addressing this need is Credgenics, the pioneering company for debt collections and resolutions, which is reshaping the narrative to facilitate a more seamless and efficient Indian financial system.

What is ODR?

ODR is a digital-based legal approach to resolving disputes and conflicts between concerned parties without the need for them to be physically present. ODR encompasses various methods including arbitration, mediation, and conciliation/negotiation, conducted through online platforms.

Credgenics is leading the change in debt resolution with its comprehensive ODR capability. It combines legal expertise, advanced technology and modern communication tools such as video calling, emails, and messaging applications to make the dispute resolution process faster and simpler. In comparison to traditional legal systems, it ensures reduced costs, and increased accessibility. Automated processes, remote digital interactions, and real-time tracking capabilities further enable debt recovery to transcend geographical boundaries.

ODR has proven particularly effective for smaller to medium-value cases that can be resolved without a trial and do not involve complex legal issues. ODR has become crucial in the BFSI sector where swift and fair resolution of disputes is essential for maintaining trust and efficiency in transactions.

Advancing Debt Resolution through ODR

ODR is a branch of alternate dispute resolution which either adjuncts or seeks to replace the traditional methodology that the parties use to resolve disputes. The various methods of dispute resolution involve Arbitration and Mediation / conciliation. Arbitration requires resolving disputes outside the court where parties agree on a neutral third party (arbitrator) for a binding decision.  Whereas, mediation/conciliation involves sending a mediation / conciliation reference notice through digital and/or physical mode intimating the borrower the date and time for virtual meeting.

Credgenics has streamlined debt resolution through a suite of services, including an arbitration platform, pre-litigation mediation, conciliation, and credit counseling. Credgenics works with a team of more than 850 case managers, 2,200 counselors and 3,000 neutrals who are qualified, and independent BFSI domain focussed experts. Credgenics is providing ODR services to leading banks, fintech lenders, NBFCs and Asset Reconstruction Companies (ARCs) across more than 16,000 pincodes and 10 vernacular languages pan India.

In addition to these Credgenics also offers loan dispute settlement services at the pre-litigation stage through Lok Adalats for BFSI customers across various loan segments, products, and Days Past Due cases.

Elevating Efficiency with Cost-Effective Operation

Balancing efficiency and costs is always a challenge in finance. Credgenics steps in, cutting operational costs by automating the debt recovery process and integrating it with legal procedures, offering real-time visibility. From recordings of proceedings to tracking of communications and notice all are available and can be tracked on the Credgenics platform. It also allows borrowers to attend hearings via video conferencing, with the option to choose arbitrators. With robust technology and infrastructure, Credgenics has conducted over 1 million e-arbitrations. The Return on Investment (ROI), promised by ODR, is better than traditional methods.

Credgenics is a leader in the ODR space, handling over 25 lakh unique disputes every month. This volume is a testament to the trust placed by individuals and businesses in Credgenics to resolve a wide array of conflicts effectively. Having managed the resolution of $70 billion value of funds further solidifies its position as a powerhouse in the FinTech sector. This substantial financial portfolio speaks to their influence and ability to handle significant economic interests, reflecting the confidence of financial entities in Credgenics' expertise.

Conclusion

Credgenics stands at the forefront of the ODR movement, not only due to its impressive scale of operations and expertise in financial services management but also because of its unwavering commitment to fair and efficient dispute resolution. As it continues to navigate the intricate intersection of technology, finance, and legal processes, Credgenics is poised to leave an indelible mark on the evolving landscape of dispute resolution in the digital age.