By digitalising debt collection, AsiaCollect hopes to increase debt recovery rates for businesses

Digital debt management startup AsiaCollect has raised an undisclosed funding from SiG Asia Investments and Dymon Asia, bringing the company’s total investment to US$4.5 million.

AsiaCollect will use the new cash injection to acquire more clients in its core markets — Indonesia, Vietnam, and the Philippines — upgrade its products, expand its teams and purchase more nonperforming consumer portfolios (NPL).

Launched in 2016, the startup automates consumer debt collection for its clients via its SaaS solution. These include the use of automated SMSs, interactive voice recordings, and predictive dialling systems. It also uses psychometric analysis that allows operators to communicative effectively with different customer types.

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By relying on digital recovery tools, AsiaCollect hopes it will significantly boost the recovery rate for its clients; it also wants to eliminate the need for field collection, which can sometimes involve sending out disreputable agents who intimidate consumers and as a result, cause the company to run afoul of the law.

AsiaCollect’s solutions also help clients manage outsourcing, advisory services and debt purchasing, all on one integrated platform.

“Over the medium to long-term, purchasing NPL portfolios off banks’ balance sheets is likely to be a major driver of revenue growth for AsiaCollect. We have already purchased our first portfolio from a large financial institution in Vietnam, and we are focused on executing on many more such transactions going forward,” said Tomasz Borowski, CEO and co-founder of AsiaCollect, in an official press statement.

AsiaCollect currently manages over US$40 million in assets of over 10 financial institutions and digital lenders across its three aforementioned core markets.

Headquartered in Singapore, the company was developed and seeded by FORUM, an Asia-based fintech venture builder run by founder and CEO Greg Krasnov. Other portfolio companies under FORUM’s umbrella include SolarHome, CredoLab and AsiaKredit, which, a week ago, also raised funding from SIG Asia.

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Image Credit: AsiaCollect

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