Collections Belong in the Product
Collections Belong in the Product
At Freecharge I designed and launched an end to end collections module for our Buy Now Pay Later and lending products. Collections is often treated as an operations function that starts after something has gone wrong. I think it belongs in the product from day one.
Credit quality starts at the first loan
Delinquency is decided long before an account is overdue. It depends on who you lend to, how much, and how clearly the terms were explained. At Indifi, building Revenue-Based Financing taught me that the structure of a product shapes repayment as much as any follow up does.
One view of the customer
A good collections module gives the team a single view of what a customer owes, what they have been told, and what they have already tried. Without that, customers get mixed messages from different channels, and the team cannot learn what actually works.
Design the gentle path first
Most customers who miss a payment intend to pay. The first steps in collections should make it easy for them to do so: a clear reminder, a simple way to pay, and options when they need more time. The harder steps are for the small group who do not respond.
Measure what helps the customer too
A collections process that recovers money but drives customers away is a short term win. I look at recovery alongside how many customers stay active afterwards. The best outcome is a customer who catches up and keeps using the product.
Partner with risk and compliance
Collections in India is closely regulated, and rightly so. Working with risk and compliance teams on the design keeps the process fair and avoids surprises later.
Nishant skipped presentations and built real AI products.
Nishant Pandita was part of the August 2026 cohort at Curious PM, alongside 24 other talented participants.