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When I started off my career, I obviously had no credit history and not much knowledge of financial products. Starting my first job with Citi, one of the biggest financial services company in the world, certainly helped in quickly coming up the learning curve but (alas!) only in terms of (lending) financial products.

Start Early

One thing that takes a back seat among many young professionals – embracing financial prudence in terms of starting to save early, eluded me too. As it happens with many, in the younger years, one tends to spend more than the monthly earnings and savings are usually negligible. There is also a tendency to spend lavishly on dining out, buying fancy new clothes, going on short outstation trips, spending lavishly on foreign tips and buying unnecessary household goods. The salary, for most, except folks from the Indian Ivy league like IITs and IIMs, is modest on an average. However, most of us in our younger years go through a cycle of spending splurge on items that were on the wish list since we were students. It’s almost like a very thirsty person wandering on a barren desert suddenly coming across an oasis only to find out later that the oasis had coke instead of water and was available on a drink-now-pay-later model!

By the time, most of us realise this folly and quench our artificial thirst, many years just go down the line, and we find our self just paying an unnecessary debt in terms of credit card liabilities and cash loans taken to clear high-interest card liabilities. In another few years, it is time to get married, which happens practically early on in India and then we take more debt to ‘settle’ properly with better housing, furnishing and a car.

Reaping the benefits of compounding

On the contrary, a very minuscule population, who for some reason have financial wisdom engraved in their DNA, start saving very early on, especially in equity through SIPs; these folks become retirement ready by the age of 45 as against 90% of us who will slog it out like the regular salaried population for many more years to come. You see, they take advantage of the enormous power of compounding.

For example: Let’s consider today’s Sensex closing growth % as against June 2009 (approx. 10 years). The Sensex in the same period has grown by ~172%. Around Rs 24,000 per year or Rs 2,40,000 invested over 10 years would have become approximately Rs 11.74 lakhs on a compounding basis (17% YoY growth) by 2019. That’s approximately 5X growth. That’s the power of compounding! If one keeps investing a regular amount every year and reinvesting the interest earned, your investments grow multiple times in 10-15 years’ time horizon.

Finserv MARKETS offer a variety of digital lending products which have become a preferred destination for all kind of customers due to its quick disbursal, flexible repayment options, hassle-free and seamless online application process. Finserv MARKETS provide customers with 500+ financial and lifestyle products to choose from such as Personals Loans, Business Loans, Loan against Property, Professional Loan, Car Loan etc. It provides a fast online paperless service experience through its digital channel. Finserv MARKETS is a one-stop destination for all the financial needs of an individual and provides a unique digital experience to the customer.

Start now, so that you’ll be off to long vacations in your semi-retired state in your late forties while some of your old colleagues would be still burning the midnight oil. Hope you want to be the former and not the latter!

You might have come across the novel profession of a data scientist in your professional/student life. In a world where data is the new oil and currency, it is not surprising that the profession of a data scientist has caught everyone’s attention.

So then, who is a data scientist (DS)?  Is this profession just a fad of the digital world or does this profession carry some weight?

A combination of traits that exist in mathematicians, computer scientists and trend-spotters, Data Scientists are a new breed of professionals that juggle between IT and business. They are data analysts who use technical skills to bring solutions to complex problems.

Let’s have a look at the traits that a Data Scientist should possess and certain biases you should be cognizant about. This would be helpful if you are already a self-proclaimed data scientist or are considering going down that road or even if you are just inquisitive about the work of a DS.

If you have noticed, I have used the word trait (and not skill). While most use these two terms interchangeably, it isn’t really accurate. While there does exist a relationship between the two, perhaps even some overlap, but the core concepts are different.

Data Scientist
Skills	Traits
1. Is Task-Oriented 2. Is Experienced Based 3. Is a Continuous Process	1. Is Character Oriented 2. Are integral to a person 3. Is Relatively Constant

A data scientist has to be good with both words and numbers. When we come across, say a news story, it seems more authentic when there are numbers and figures involved. But emotions are only evoked through the story. Data Scientists are in a way, constantly digging for such stories that can explain various functions, across a variety of fields, from management to psychology to population.

Here are a few more traits of a Data Scientist –

1. Has a feeling for numbers
2. Likes to experiment
3. Is inquisitive
4. Is a responder and not a reactor
5. Is a storyteller

Let’s look at each of these traits in detail:

Feeling for Numbers	Likes to Experiment	Inquisitive	Responder	Story Teller
Aggregates and breaks down numbers   Always looks for actionable insights   Statistics (Extremely critical for Modelling)	Open to learning new tools and techniques   Tools: SQL, SAS, R, Python, SSPS, Excel, Big Data Tools, Excel   Techniques: Hypothesis Testing, Correlation, Pareto, Linear Regression, Logistic Regression, Clustering Methods…the list can go on.     Has the ability to choose the weapon of choice strategically for the problem at hand.	The person who always starts with the WHY?   Why are we undertaking this analysis?   Why are we making this change?   Has an extremely   disposition	Doesn’t break down under pressure   Believes in facts (not opinions)   Analyses the numbers before passing any inferences   Backs up their statements with data (As Deming said, ‘In God, we trust, all others must bring Data’)   Doesn’t feel the need to win every battle, but definitely has the vision to win the war.	This trait is NOT merely an icing on the cake. This trait completes a DS.   The ability to draw people to the problem statement in a prosaic yet indulgent manner   To be a good storyteller, one also needs to be inspired. My guess is that a reader generally has a higher chance of being a good storyteller!

Armoured with this understanding, I would like to sign off with one of Deming’s classic maxims, “Without data you are just another person with an opinion”

Finserv MARKETS offer a variety of digital lending products which have become a preferred destination for all kind of customers due to its quick disbursal, flexible repayment options, hassle-free and seamless online application process. Finserv MARKETS provide customers with 500+ financial and lifestyle products to choose from such as Personals Loans, Business Loans, Loan against Property, Professional Loan, Car Loan etc. It provides a fast online paperless service experience through its digital channel. Finserv MARKETS is a one-stop destination for all the financial needs of an individual and provides a unique digital experience to the customer.

There may be times in our life when we immediately require more money than what we have as savings. In such situations, NBFCs can help a person quickly and easily apply for a loan on a user-friendly platform like Finserv MARKETS. Be it for an emergency purpose, for leisure or expenses for planned vacations, loans can prove to be a helpful funding mechanism for meeting such needs.

However, it is possible that some people might get rejected during their application process. This can be both confusing and incredibly disappointing. Which is why this blog aims to help you identify all the possible reasons for the rejection, so you can avoid it in the future:

Low credit score 

Once you apply for a loan, say, on a platform like Finserv MARKETS, the first process carried out by the risk and underwriting function would be to check your credit profile in a credit information bureau. For a lender, the most important criterion is assessing the credit risk profile of the applicant and then decide the lending terms and conditions.

CIBIL is the most respected entity in the industry for a credibility check while the other bureaus in India are Crif High Mark, Experian and Equifax. A CIBIL score of 700 or above is generally considered to be a good enough score serving to qualify a person’s application as credible.

However, if you have a low credit score due to late or non-payment of previous EMIs, this can seriously affect your chances of qualifying for a loan in the future. So, if you want to apply for a loan, make sure that you have maintained a healthy CIBIL score at all times.

Low Income 

This is another important prerequisite to help lenders decide the loan amount they feel comfortable disbursing along with the repayment period and tenure. Therefore, it is important to have an appropriate, regular income source to qualify for instant loan approval and enjoy the best benefits while availing loans.

In case a person’s income is lower than the required criteria (depending upon the loan amount) or is volatile, the chances of getting their application for a loan approved may reduce. That is why it is best to plan your EMIs beforehand. You can make use of the Personal Loan EMI calculator (if you’re applying for a personal loan, for example) on Finserv MARKETS and enter your ideal amount and tenure to find out the right EMI amount for you.

Instability of Job

Financial stability is very important for an individual to get their application for a loan approved. A person or entity with financial instability or volatility may end up declined by the lender due to specific risk classification criteria. Frequent job hopping, long breaks, working with start-ups which are less recognised in the market and thus with low credibility may end up resulting in the rejection of your application. Similarly, individuals working as freelancers may also face a situation where their application may get declined by the underwriter.

Outstanding loans at the time of application 

When people apply for a loan, banks and NBFCs can access their credit details using Bureau data (like CIBIL, Equifax, etc.). Through these channels, they can ascertain the financial and risk profile of people by the loans they availed from other financial institutions in India.

Hence, any potential lender will have information about your previous loans such as the loan amount, tenure, no cheque bounce and most importantly, timely payment of EMIs. If these details are favourable, it will help you in getting the amount you seek at a better interest rate.

Multiple loans existing at the time you apply for a loan reduces your chances of approval. Similarly, one should not apply at multiple NBFCs or banks at the same time as it increases the bureau hit rates. It also sends multiple enquiries by different lenders at the same time which ultimately reduces the chances of you getting the

Purpose of Loan

Though there are separate categories of loans like personal loan and home loan, lenders still check the specific purpose of your application. For what purpose is the money required, what would be the use of the funding and so on, are some important aspects that a lender looks at while approving your application for a loan.

So, make sure to do a thorough research of the exact type of loan you need and which category of loan most suits your current financial needs. If you are looking for further details, you can find them on Finserv MARKETS where you can browse the various benefits of each type of loan available there. As per your financial needs and goals, you can take your pick from home loans of up to 3.5 Crore and flexible repayment tenures of up to 300 months, personal loans of up to 25 lakhs with unlimited withdrawals and business loans of up to 30 lakhs for both start-up and MSME needs. Once you’ve found the loan you’re looking for, you can submit your documents and get instant loan approval in no time.

Sufficiency of collateral requirements 

It has to be noted that an individual or entity can find a good loan amount at a competitive interest rate if they have adequate collateral to offer. Since loan disbursal is a form of risk taking in a way, collaterals provide adequate security and comfort to the lender.

Collateral requirements for your loan can vary from lender to lender. If you do not meet the collateral requirements for a lender, your application is certain to be rejected. So, make sure to have adequate collateral against the loan amount you desire. Also, make sure to find the right lender who can offer an amount as well as interest rate that is equivalent to the value of your collateral.

Multiple enquiries for Loan

To expand upon one of the points mentioned earlier, one should avoid sending multiple enquiries for loans. This is amongst one of the most common mistakes committed by people during their application.

In order to get the best-in-class product across different categories, lower interest rates, better offers and best options of repayment period, a loan applicant might try to share data with multiple partners and platforms. However, this ends up getting stored in the Bureau, becomes a sign of multiple credit and results in the credibility downgrade of the loan applicant.

Details in the application 

The demographic details of a customer in the application form becomes the basis of information for the lender to approve their application in one go. Other critical details like, income, occupation, employer name, job details and other categories are important parameters to decide on the customer’s risk classification. Understandably, without the right information, it is impossible for an NBFC to approve any loan for a customer.

It is more common than people realise for their application documents to either be incomplete or inadequately submitted. The application process overall can seem pretty lengthy and complicated, so this is a common occurrence.

That is why Finserv MARKETS is the best option for someone seeking to apply for a loan in the simplest, quickest way with minimal documentation. Finserv MARKETS is a transparent digital portal trusted by 100 million customers across India. It is secure as well as convenient, with the entire customer data stored digitally, which provides you with instant approval of your loan in a matter of few minutes.

On Finserv MARKETS, you can avail personal loans, business loans and home loans among others with minimal documentation. You can avail personal loans of up to 25 lakhs, business loans of up to 30 lakhs and home loans of up to 3.5 Crore, all with flexible repayment options.

If you want to avail maximum benefits, you should download the Finserv MARKETS App, which comes with a multitude of facilities designed specifically for your ease and comfort. The Finserv MARKETS App offers you a personalised experience with the facilities of tracking your loan account, paying your loan EMIs/part-payments in a smooth, speedy and secure manner through their UPI platform, availing exclusive deals and offers and having money deposited in your bank account within 24 hours. At any point, if you find yourself in need of assistance, simply download the Finserv MARKETS App and the chatbot YARA will solve your queries in a jiffy. With just a few quick, hassle-free steps you can do everything from applying for a loan to paying the loan EMIs in a timely manner.

Finserv MARKETS, a subsidiary of Bajaj Finserv, is a one-stop digital marketplace that has been created for consumers on the go. It offers 500+ financial and lifestyle products, all at one place. At Finserv MARKETS, we understand that every individual is different. And that’s why we have invested in creating a proposition – Offers You Value. A value proposition that ensures you get offers which are tailor-made for you. We also offer an amazing product range and unique set of online offers across Loans, Insurance, Investment, Payments and an exclusive EMI store. Be it in helping you achieve your financial life goals or offering you the latest gadgets, we strive to offer what you are looking for. From simple and fast loan application processes to seamless and hassle-free claim-settlements, from no-cost EMIs to 4 hours of product delivery, we work towards fulfilling all your personal and financial needs. What’s more! Now enjoy the same benefits in just one click with our Finserv MARKETS App.

With the development of Fintech apps, the financial services industry is going through major innovative changes. The advancements in financial technology have provided us with ATMs (Automated Teller Machine) and swipe machines to online and mobile banking, mobile wallets, and automated bill payments applications. There are Finance apps that help you manage your finances and stick to your monthly budget. This will help you in making better financial decisions for future savings and investments.

Let’s have a look at some of the best and major financial services; which are reshaping due to Fintech applications.

1. Application/software for billing and payments

Before fintech, the credit card companies, banks, and financial giants had complete control over the payment & transactions. But the introduction of digital payments and online billing applications have changed the game completely. Digital payments have converted the traditional cash-based operations into the cashless ones which are comparatively more convenient and accessible.

The two major sectors for digital payments and billing solutions are as follows:

2. B2B payments

Security, accuracy, and flexibility has been a huge challenge to B2B payments and crosses border transactions; there are technological solutions that assist businesses in achieving secured money transactions and payments. Some of these tech platforms include-

• Customized & private Block chain with the most security & transparency.
• E-invoice platforms for faster payments, approvals, and processing.
• Payment management platforms that offer a wide variety of payment methods or wallets.
• Mobile B2B platforms for faster digital payments and enhanced data management.

3. Digital Banks

Banking service applications have made it easier for consumers to perform banking activities online. Innovations like AI (Artificial Intelligence), biometrics, voice and face recognition, online banking improves customer engagement. Acknowledging the digital mode, online banking is extremely cost-effective as it attracts a cost of having physical premises and delivers convenience to its customers. Since this branchless concept is different from other types of banking, it significantly reduces the cost.

4. Mobile banking apps

Many industries have started to venture into digital modes/ platforms for their services, the financial sector has entered the mobile banking phase too. Nowadays, everyone prefers to get banking services from the comfort of their home. Technology has made it easier to carry out online transfer money anytime and anywhere. Mobile banking applications offer all banking operations at your fingertips with secure logins and complete access to your financial data.

5. Money remittance/ Money transfer

Many companies allow its users to transfer money to more than 100 countries and the receivers can get the amount via bank deposit, cash picks up counters, mobile money or at times even delivery. Money remittance/transfer solutions make the whole money transfer process less time consuming, less expensive and in fact, it does not even ask for actually sending funds abroad. This is where P2P comes to the rescue. P2P is one of the best and developing Fintech trends to invest in. This platform links the digital wallet of individuals both the sender and the receiver. P2P lending apps use machine learning to understand and spot borrowers who do not deserve loans based on their CIBIL Score.

6. Personal Finance Apps

Personal finance management apps have made it easier to manage your finances. With finance apps you can make a quick bill payment, shared expenses, managing subscriptions amount, debt payoffs or any other wealth management functions; PFM applications all at your fingertips. Personal finance apps allow its users to pull all of the personal money accounts together and lists personal finances in form of data visualization, categorization, and your overall spending habits.

Though with more technology in use there is a need for enhanced security precautions. But in the end, it is safe to say that Investment in the Fintech sector is going to reap good results in the future. There are numerous companies providing finance apps. One such application is the Finserv MARKETS app. You can avail personalized choices for Loans, Cards, Insurance, investments & UPI Payments along with No Cost EMIs. Also, making it easier for you to send & request money from friends and pay merchants and all your phone & electricity bills online.

Read more about Loan Apps for Contactless Personal Loan

“Finserv MARKETS, a subsidiary of Bajaj Finserv, is a one-stop digital marketplace that has been created for consumers on the go. It offers 500+ financial and lifestyle products, all at one place. At Finserv MARKETS, we understand that every individual is different. And that’s why we have invested in creating a proposition–Offers You Value. A value proposition that ensures you get offers which are tailor made for you. We also offer an amazing product range and unique set of online offers across Loans, Insurance, Investment, Payments and an exclusive EMI store. Be it in helping you achieve your financial life goals or offering you the latest gadgets, we strive to offer what you are looking for. From simple and fast loan application processes to seamless and hassle-free claim-settlements, from no cost EMIs to 4 hours product delivery, we work towards fulfilling all your personal and financial needs. What’s more! Now enjoy the same benefits in just one click with our Finserv MARKETS App”.