As part of Default and Delinquency Management, NuovoPay offers phased locking of devices as a feature to help financial institutions recover from defaults and delinquencies. This feature allows financial institutions to restrict access to certain mobile applications and eventually lock the device, as a way of encouraging delinquent borrowers to make their payments. The process can be explained as:
Phase 1: NuovoPay will restrict access to certain mobile applications on the financed device, such as social media, gaming, or entertainment apps, as a reminder for the borrower to make their payments.
Phase 2: If the borrower continues to miss payments, NuovoPay will restrict access to more essential mobile applications such as email, messaging, and internet browsing.
Phase 3: If the borrower still fails to make their payments, NuovoPay will lock the device completely, preventing the borrower from using it until the payments are made.
This phased approach is designed to be a gentle reminder for the borrower to make their payments while still allowing them to access essential applications and services. It is also a way to progressively increase the pressure on the borrower to make their payments and avoid the need for more drastic measures such as repossession.