How to use the WhatsApp API in credit and collection operations?

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The financial industry has been reinventing itself in recent years through the use of several new technologies – and one of these is the WhatsApp API , which provides much more security when granting credit or collecting payments from debtors. Understand how this API works and the benefits for your operation.

Every day that passes we see competitors entering the credit granting market, whether they are new fintechs or applications that are already famous and consolidated in the Brazilian market, which have seen a great opportunity to offer financial products to unbanked people or to their own customer base.

The similarity observed that makes (not only) these two types of companies successful when entering this market and granting credit is the use of innovative technologies that make it possible to grant credit with total security, mainly in the risk analysis of the credit applicant.

When we think about debt collection, technological advances have also benefited this area in order to make the credit recovery process more comfortable and agile. A clear example is the implementation Lebanon telegram data of digital for negotiation! Until recently, the telephone and (physical) bills were the main channels and modus operandi for relationships and debt collection from customers.

In both areas, we have the same driving force that has driven this digital transformation – the use of the WhatsApp API in the analysis for granting or recovering credit. It is estimated that approximately 99% of cell phones in the country have the application installed – 93% of people use the APP daily, and most importantly, 76% of them interact with companies and brands of their choice!

What is WhatsApp API?
In a macro sense, the WhatsApp API is a source code that allows companies to perform real-time validations directly on Facebook (which owns WhatsApp). Easily integrated with billing systems and credit engines, the solution allows companies to perform thousands of validations per second.

Through these certifications, financial institutions and debt collection companies can identify whether a specific mobile phone has WhatsApp active and which photo is linked to it. In addition, it is possible to validate whether the phone is associated with the credit applicant – and for companies that want to go further, they can carry out the geolocation process to collect debts.

Based on the possible returns of a mobile phone's status (via WhatsApp API ), it is possible to determine which actions a company should take to ensure greater security in granting credit or greater agility in recovering credit. Understand the best practices implemented by companies when using this type of solution in their operations.

Ways to Use WhatsApp Query via API in Credit Transactions
When we think about the (more traditional) credit granting process, we immediately think of a credit engine that first checks whether or not there are any outstanding financial obligations in the name of the credit applicant – and if so, the application is summarily rejected!

In smarter operations, the evaluation process is much more dynamic – and in this case, this is where WhatsApp's API comes in. Instead of trying to find out (only) whether or not a person has a bad credit history, companies evaluate several variables, including presumed income, per capita family income (of the person's residence), education level or whether the person is working (or receiving unemployment insurance), among several other evaluations.

One variable that has become widely used is whether the phone number provided at the time of granting credit really belongs to the applicant – and whether the applicant has an active WhatsApp account and the photo attached to it. These checks can be performed via the WhatsApp API , and based on this information, many companies have rejected credit due to a high rate of fraud in this type of customer (without an active WhatsApp account) – in addition to the difficulty they will have in negotiating amounts when they become defaulting customers.

Other companies do not classify this variable as a determining factor in credit rejection – but in this case, internal credit score models can classify this variable as relevant, which tends to drastically reduce the credit limit granted.