As an individual lender, a bank, NBFC or any other financial institution you analyze the prospective borrower’s bank statements to assess the creditworthiness to decide whether to lend the money or not. Bank statement is one of the most reliable sources that give you the visibility into all the transaction and trends of your prospective borrower over time. During this situation, you face the following challenges:
Different formats: Prospective borrower submits the bank statements in digital PDF format, scanned PDF format or just as a printed hard copy.
Different periods and magnitudes of data: Depending on your policies, level of credit to be assigned, you consider different periods; 3, 6, 9 or 12 months of data in a bank statement from your prospective borrower.
Many narrations: The bank statements analyser usually have different narrations and layouts depending on various banks yet specific and particular to that bank.
Manual inspection, analysis, and calculations: Given, different formats, periods, magnitudes of data, narrations, and layouts; it is a very tedious and daunting task for you to inspect, analyze, and calculate manually to arrive at the creditworthiness of your prospective borrower.
Original source: https://www.scoreme.in/services/bank-statement-analyser
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