Improving self serve rate for business loans
Designed an intuitive & delightful onboarding experience to help users upload their bank statements and provide necessary corrections to get a loan offer quickly.
About Razorpay Capital
Razorpay capital
offers
credit products to its users such as Line of credit, corporate credit card & Loans.
To avail credit, users must fill in an online application and share the necessary documents.
Overview
We noticed that the
bank statement upload process had a significant drop-off rate of ~51%. It became crucial to
investigate the issue as it directly contributed to the goal of increasing the overall
lending
book size by increasing the average ticket size.
This project is comprised of 3 smaller projects/objectives we took up to improve the overall
onboarding experience for the users.
Impact
1x Product Manager
2x FE Engineers
2x BE Engineers
Problem Statement
The current credit application journey suffers from high
friction and low transparency, leading to a
51% drop-off in instant
approvals and a heavy reliance on manual sales intervention.
Because bank statement validation occurs too late in the funnel, users are left in a "black box"
for days, missing opportunities to optimize their credit limits by providing better financial
data.
#1 Delayed Validation
Bank statements are parsed post-submission rather than at the point of upload, turning minor technical errors into multi-day manual support tickets.
#2 The "Black Box" Experience
Users receive no real-time feedback on their application status, leading to a "robotic" journey that lacks the delight and speed expected from a fintech leader.
#3 Sub-optimal Credit Offers
Applicants often upload secondary accounts (Savings/CC) unaware that primary Current Accounts could significantly increase their approval rates and ticket sizes.
#4 Scalability Bottleneck
With over half of all applications requiring manual outreach due to parsing failures, the system is unable to scale alongside Razorpay’s growth.
The Process
Defining the user journey
For a complex flow like loan onboarding which is heavily dependent on the back-end, it was essential to map out all possibilities and scenario handling before we moved ahead with designing the screens.
#1 Simplifying the bank statement screens
The first part aims at creating a simple and straight forward bank statement collection experience for the users. This involved redesigning the screen as well as the copy.
1.1 Account & method selection
1.2 PDF Upload screens
#2 Providing feedback in realtime
This is where our back-end does the heavy lifting to process the bank statements in realtime and ensure the rule engine is able to churn out an offer for the user within 30 seconds (given all requirements are met).
Real time feedback - missing
dates
Real time feedback - duplicate
file
#3 Redesigning the offer screen
~70% of the users drop-off by the offer step. In-order to be truly self serve & increase ops and sales efficiency, the onboarding journey had to be simple & delightful.
Before
After - Desktop