BoB introduces online loan application facility

BoB introduces online loan application facility
Bank of Bhutan launches Loan Origination System (LOS)

Now, Bank of Bhutan (BoB) customers can apply for loan through website and mobile banking application (mBoB) any time anywhere through the Loan Origination System (LOS) on Thursday.

The LOS is an application process that enables bank users to initiate an application for processing and facilitating loan approval.

As part of the process, the system also does a series of automated validation checks of key controls to facilitate quicker and robust decision-making.

The loan applications can then be tracked from the time it was boarded till the sanction at each level and the time taken by the various level of authorizations.

The system also generates critical reports such as Turn Around Time (TAT) summary and Credit Information Bureau (CIB) report to facilitate decision-making.

The Chief Executive Officer of BoB, Pema N. Nadik, said that the benefits to customers who process loans will be tangible.

“The process becomes more efficient and faster,” said the CEO.

A bank official said this automation of daily processes of application processing system will lead to reduction in time and efforts involved in various processes and reduce possible risks due to manual intervention.

The official said it will also efficiently trace delinquency and other critical indicators of portfolio and increase overall efficiency and productivity of the unit.

A customer can apply for certain loans from any region and have the option of selecting the branch from where they want to avail the facility. After submission of the application, the customer will receive an email alert or SMS, advising him or her to visit the bank to complete the documentation formalities if everything is in order.

The online loan application facility is expected to improve TAT for simple loans and also cut down resource spending for customers.

Dechen Dolkar from Thimphu