Banking partners: Powering India's financial ecosystem

In India’s rapidly evolving financial services landscape, partnerships have become central to growth, innovation, and last-mile service delivery. From direct selling agents (DSAs) and fintechs to verification agencies and collection partners, banks today rely on an expansive network of external entities to extend reach, improve customer onboarding, and drive operational efficiency. In fact, a recent study revealed that over 70% of Indian banks now operate with more than 10 different third-party partners to meet their strategic and compliance goals.

However, while the role of banking partners is critical, managing these relationships is anything but simple. The absence of a centralized, digital framework to onboard, track, and engage with partners often results in broken communication, delayed payouts, compliance lapses, and inefficiencies that affect customer experience and regulatory adherence. As banking becomes more digitized and competitive, institutions can no longer afford to treat partner management as a secondary priority.

The Challenges of Partner Management in Banking

One of the most pressing issues is onboarding inefficiency. Many banks still rely on manual, paper-based processes for collecting documents, performing due diligence, and verifying partner credentials. This not only slows down onboarding timelines but also exposes banks to compliance risks. A PwC report notes that over 60% of financial institutions in India report a turnaround time of more than two weeks for partner onboarding—far too slow for today’s fast-paced financial environment.

Another major challenge is fragmented communication and service support. Once partners are onboarded, their operational queries, service requests, or escalations often get lost in email threads or manual logs, resulting in frustration and delays. This lack of visibility also affects performance monitoring and timely payouts. Many DSAs and agencies report frequent delays in commission settlements, often due to manual invoice validations and poor reconciliation practices.

Additionally, with the growing regulatory pressure in India—from RBI’s compliance guidelines to stringent KYC norms—maintaining accurate, up-to-date partner records becomes non-negotiable. Without a centralized system, ensuring ongoing compliance and conducting periodic assessments becomes labor-intensive and error-prone.

The Need for a Digital Self-Service Partner Portal

To address these issues and scale partnerships sustainably, forward-thinking banks are turning to digital self-service partner portals. These portals serve as a centralized platform for onboarding, engagement, communication, and compliance management—drastically reducing operational burden while empowering partners.

One such solution includes a feature-rich Partner Portal, designed to streamline every touchpoint across the partner lifecycle:

• Digital Identity Verification and e-KYC: Partners can complete onboarding independently with e-signatures, document uploads, and integration with UIDAI and KYC registries. This reduces onboarding TAT from weeks to days.

• Profile Management & Self-Assessment: Partners can update their details, upload compliance documents, and conduct periodic self-checks to ensure they meet the bank’s standards without manual intervention.

• Invoice Processing & Payout Management: The portal supports automated invoice submissions, validation workflows, and payout tracking—ensuring partners get paid accurately and on time.

• Service Request Management: Partners can log queries, escalate issues, or request support with complete transparency on resolution status, eliminating email silos.

• Training Programs & Certifications: Banks can upload product knowledge, regulatory updates, and training modules to ensure partner readiness and compliance.

• Statements & Reports: Real-time access to transaction history, performance metrics, payout statements, and SLA adherence allows partners to self-monitor and improve outcomes.

By digitizing partner operations, Indian banks can unlock significant benefits. Automated onboarding and verification can reduce partner activation time by up to 70%. Self-service capabilities cut down inbound service requests by 40-50%, while transparent payout tracking improves partner satisfaction and retention. Most importantly, these platforms ensure audit-readiness, with centralized records and compliance trails readily accessible.

As banking in India continues to digitize, the ability to manage and scale partner ecosystems efficiently will be a key differentiator. A self-service partner portal isn’t just a convenience—it’s a strategic imperative for banks aiming to remain agile, compliant, and competitive in the new financial era.