Nexilo Loan App
ERPNext x Frappe Integration
Overview
Loan management application integrated with ERPNext for processing, tracking, and managing loan portfolios.
The Problem
Microfinance institutions and lending companies using ERPNext lacked a dedicated loan management module. They resorted to spreadsheets for amortization schedules, manual interest calculations, and disjointed collection tracking.
Architecture & Approach
Developed a comprehensive Frappe app with custom DocTypes for loan applications, disbursements, repayment schedules, and collections. Integrated with ERPNext's accounting module for automatic GL entries. Used Frappe's scheduler for daily interest accrual and overdue notifications.
Technology Stack
Key Features
Loan Origination
Multi-step application with KYC, credit scoring integration, and approval workflow.
Amortization Engine
Flexible schedules — fixed, reducing balance, balloon payments, and grace periods.
Disbursement & Collection
Bank integration for disbursement, automated repayment reminders, and collection tracking.
Collateral Management
Asset registry, valuation tracking, and lien documentation.
Provisioning & Reporting
IFRS 9 compliant provisioning, portfolio quality reports, and regulatory returns.
Branch & Agent Portal
Role-based access for field officers with offline-capable mobile forms.
Lessons Learned
Regulatory compliance (IFRS 9, local central bank rules) must be baked into the data model.
Idempotent payment processing prevents duplicate entries during network failures.
Amortization recalculation on early repayment requires careful rounding strategy.
Agent productivity metrics drive portfolio quality — build dashboards for them.