Device lock technology is a strategic enabler for NBFCs expanding device financing across emerging markets.
With millions of new-to-credit users in Asia, Africa, and LATAM, NBFCs need an advanced phone security platform like Datacultr to leverage device locking coupled with other engagement offerings to protect financed assets, enforce repayment discipline, and streamline digital debt collection. Selecting an appropriate platform assures a seamless customer experience.
For NBFCs managing high-volume lending and diverse borrower behavior, understanding how a phone security platform helps improve collections and mitigate risk is critical.
What is a Phone Security Platform
Phone security platform is a comprehensive platform that incorporates smart digital nudges like device lock technology that allows lenders to remotely manage financed smartphones, restricting access if repayments are delayed, and unlocking them upon payment. Its real power lies in enabling risk-managed device financing at scale.
Why NBFCs Are Embracing Device Financing
The surge in device financing is fueled by rapid smartphone adoption and a growing shift toward digital credit. According to a report by IDC, the global smartphone shipments increased 6.4 % YoY in 2024 to reach a total of 1.24 billion units.
For NBFCs, combining device financing with mobile phone lock enables them to:
- Access underserved or new-to-credit customers
- Reduce default risk
- Offer secure, scalable, and digitally manageable financing
Device financing is a gateway to digital inclusion, enabling access not only to mobile services but also to e-commerce and broader financial opportunities.
What Challenges Do NBFCs Face in Device Financing
Even as opportunities grow, device financing comes with these challenges:
- High default risk: Borrowers may delay or skip repayments, a risk that’s growing sharper as default rates on mobile phone financing in India have climbed to 2.7%–2.9%, up from the expected ~2%.
- Asset misuse or theft: Financed devices can be resold or lost.
- Operational inefficiency: Manual follow-ups, fragmented data, and limited repayment visibility.
- Customer disengagement: Lack of timely communication reduces repayment consistency.
These challenges demand a consent-based, intelligent, automated, and empathetic approach, something Datacultr’s phone security platform is built for.
How Does Datacultr’s Phone Security Platform and Device Lock Solve NBFCs’ Credit Risk
Traditional collections, which involve extensive customer calling, visits, and manual reminders, are costly and ineffective. Datacultr’s phone security platform bridges this gap through direct-to-device engagement, turning every financed phone into a connected, manageable asset that drives repayment and reduces NPAs.
Here’s how Datacultr’s device-driven approach works across the loan lifecycle:
Proactive Engagement
Highly impactful communication stack with clear CTAs and our proprietary voice platform DigiCall, ensures borrowers are aware and educated.
Early Collection
Persistent Wallpaper Reminders act as always-on reminders, while Promise to Pay (PTP) digital workflows provide empathetic, trackable repayment plans.
Late Collection
Skip tracing tools like Location on Demand (LOD) and Mobile Number on Demand (MOD) re-engage hard-to-reach borrowers, minimizing defaults and securing financed assets.
People Also Ask
What should NBFCs look for in a phone security platform?
For NBFCs scaling mobile device financing, a phone security platform should go beyond basic locking. It must combine device security, borrower engagement, and portfolio intelligence to minimize credit risk and strengthen repayment performance.
Datacultr does exactly that, offering an integrated ecosystem where device lock works seamlessly with communication tools, analytics, and automation. It enables NBFCs to monitor financed devices, personalize engagement, and act proactively before defaults occur.
Datacultr’s phone security platform also provides dynamic repayment-linked controls, allowing lenders to trigger reminders, apply partial restrictions, or initiate complete locks based on borrower behavior, ensuring smarter, more empathetic debt recovery.
How can Datacultr help NBFCs improve debt collection in device financing?
Partnering with an advanced phone security platform like Datacultr allows NBFCs to enhance both recovery rates and borrower experience. By combining intelligent engagement, device-lock technology, and data-driven repayment journeys, Datacultr helps lenders reduce delinquencies while keeping customers informed and motivated to repay on time.
Can Datacultr’s device lock help scale device financing?
Yes. Datacultr’s device lock controller allows NBFCs to expand portfolios in regions with high smartphone adoption while maintaining risk-controlled lending, operational efficiency, and secure asset management.