About the client
A ₹650 crore channel book across 1,200 dealers
A Series B wholesale distribution fintech managing a ₹650 crore channel finance book across 1,200 dealers in heavy equipment, auto components, and consumer durables. The portfolio was underperforming due to incomplete due diligence workflows, delayed risk detection, and fragmented data across lender networks.
The challenge · before
Three critical gaps
Channel finance at scale demands real-time visibility into dealer creditworthiness and early warning signals. The client faced three critical gaps:
- Dealer onboarding took 5 days, slowing portfolio growth
- No cross-lender visibility: 11% of dealers had defaults at other lenders that were never detected
- NPL controls relied on post-facto audits, leaving 6% of the portfolio at risk
How AICA helped · the solution
A four-module stack at dealer intake
AICA deployed a four-module stack to reduce dealer onboarding time and catch hidden risk:
- Dealer Due Diligence, Automated KYC, bank statement parsing, and structured decision-making at intake
- Continuous EWS, Daily portfolio scanning for behavioural red flags and deteriorating trade patterns
- Bureau Integration, Real-time multi-lender default flagging across 200+ partner bureaus
- Cash-Flow Parser, Auto-extract dealer revenue, seasonality, and stress signals from bank statements
The outcome · after
NPL from 6% to 1.8%, ₹85 crore of new lending
Within nine months, the portfolio transformed:
- Onboarding acceleration: 5 days → 1 day (80% faster)
- NPL reduction: 6% → 1.8% (70% improvement)
- Portfolio recovery: ₹27 crore write-offs avoided and recovered
- Credit unlock: ₹85 crore in new lending deployed
- Coverage: 1,200 of 1,200 dealers monitored continuously
- Hidden defaults caught: 11% of the portfolio, now flagged upfront