AI-driven compassionate lending: Better for banks and customers
Delinquency rates have been low during the pandemic. However, forbearance, social policies, and fiscal relief are phasing out. Institutions must be prepared for an oncoming bubble of non-performing loans (NPLs). As EY stated in a recent blog post, “With large swathes of retail customers and small-to-medium-sized enterprises (SMEs) expecting to need financial assistance to avoid collections, banks must act now to devise a set of unique debt treatment strategies and solutions.