Nearly every payment in South Africa, including debt collections, will touch artificial intelligence AI in some way by 2026, says Izak van Heerden, Senior Manager: Development at Altron FinTech.
AI is enabling microlenders and financial service providers to implement smarter collection systems and achieve better cash flows. It is transforming debt collection from guesswork into science.
AI and debt collectionResearch shows AI-powered collection systems can reduce loan delinquencies by 25 and bad debt by up to 20. Some reports indicate generative AI has increased debt recoveries by 65, van Heerden notes.