Loan Management Software: 11 Free/Open Source Programs

Businesses must keep track of their loans, such banks, mortgage companies, and commercial lenders. Clients want to feel safe when they decide to take out a personal or professional loan. This post will cover some of the advantages of using free and open-source loan management software.

Loans must be disbursed promptly to avoid mistakes. Investing in debt management software is a top priority for businesses worldwide. The global loan servicing software market is predicted to expand by USD 446.54 million between 2019 and 2023.

Is Loan Servicing Software Worth the Investment?

Are you hesitant to invest money and effort in loan management software because you don’t believe it’s necessary? Now is the moment to switch to automated loan processing management systems. For the sake of your company, here are a few compelling reasons to invest in the finest loan servicing software:

Errors are minimized: The human factor is reduced, and accuracy is increased in all loan-related procedures like Bridge does riskier loans when using a professional loan management system.

Firms widely use advanced loan management systems because of the importance of regulatory compliance. These tools ensure that every piece of paperwork is in order and adheres to all applicable rules.

To protect customer information, loan servicing software employs strong security measures. Hacking and data theft may be prevented by implementing safeguards like password protection, end-to-end encryption, firewalls, and authorized user management.

Improved Customer Experience: Open source loan management software that is automated is essential for organizations to speed up the processing of loans and make quicker choices.

Keep Bad Debt and Risk to a Minimum Managers may use loan servicing software to spot overdue accounts and take appropriate action. As a result, there is less risk and a more stable flow of money.

Open Source and Free Loan Management Software:

1. LenderSuite

LenderSuite is a new loan management software solution for small-medium enterprises that lets them manage the whole loan cycle from start to finish. Firms may structure their loan portfolios and receive access to real-time financial data to boost profitability measures using this program.

Important Characteristics

Access to the following databases: — Windows 7 and Windows 8 SQL Server, MSSQL Express, Pervasive

The workflow may be improved by automating repetitive procedures across 17 distinct loan types.

Large-scale picture, text, and PDF storage for individual loans is possible


  • From origination to a conclusion, the whole loan process is handled by this person.
  • The operation is simple because of the user-friendly features and intuitive design.
  • Service providers and back-office staff alike may count on us to meet their needs.


  • For first-time users, tech assistance needs to be improved.

2. OpenCBS

A comprehensive loan management software system, OpenCBS handles everything from loan applications through document processing to final customer approval. As a result, it is a good fit for many businesses because of its simple interface and minimal learning curve. A wide range of functions reduces the amount of labor and the amount of time it takes.

Important Characteristics

Organizes loan applications received from various sources, including websites and customer service representatives.

Data on loan approvals and performance measures are available here.

It’s simple for users to upload files like customer photos, IDs, and Excel spreadsheets.


  • It has an intuitive system, which makes it simple to use.
  • Down to the field level, it may be customized.
  • Integration with other systems for the extraction and integration of data


  • Defects in newer software might disrupt the operation

3. Fineract by Apache

Small banks, credit unions, and other financial institutions may use Apache Fineract, an all-in-one open source loan management system, to streamline their operations. Client data management, portfolio management, financial reporting, and real-time accounting analytics are just a few of its many impressive features. All main processes can be digitized, and engagement may be raised to the highest degree imaginable.

Important Characteristics

On-premise and cloud-based options are available.

Front-end interfaces may be supported online and offline on both mobile and desktop devices.

Incorporates functional modules, such as audit management and credit approval,


  • Businesses of all sizes can rely on this scalable and adaptable solution.
  • design of open APIs and microservices to improve efficiency
  • Management of customer data in a secure manner


Implementation flaws may disturb workflow management, although they are few and few between

4. HES Software for Online Lending

Modern loan management software like HES Online Lending Service may help businesses run more efficiently. Everything from the first interaction with the client until account closure is handled seamlessly by this comprehensive loan management system. Employees may work together more effectively because of the dashboard’s interactive nature, which increases visibility.

Ensures that organizations comply with all applicable laws and regulations, both local and international.

The system may be set up on-premises or in the cloud.

It has various business application connectors and is entirely scalable.


  • Valid for online and offline loan origination, it adheres to industry best practices.
  • Has sophisticated tools for reporting and analysis
  • Extremely scalable and conformant


  • There may be moments when technological difficulties prevent users from working efficiently.
  • Pricing
  • Licenses are free.

5. I’m on loan from Zoho

Open source loan management software, Zoho Loaner, makes it easier for financial institutions to handle the entire loan cycle. Zoho Suite components, including CRM platforms, SalesIQ, and managing all your company needs, are integrated with this solution. It is an easy-to-use application that boosts productivity and saves time.

Users can examine, borrow and lend things on the fly thanks to a drag-and-drop builder that allows them to customize their dashboards.

Notifies debtors when their payment due date is approaching in an easy-to-use manner.


  • Excellent product for the money.
  • Adaptable, scalable, and configurable
  • Incorporates a variety of safety safeguards to ensure data integrity.


  • Users may need initial technical assistance or training because of the system’s complexity.

6. CloudBankIN

An intelligent solution for all loan management procedures, CloudBankIN is a fully automated platform from CloudBank. Customizable modules allow improved decision-making and more efficient processes, making it a powerful tool. CloudBankIN streamlines the loan lifecycle for lenders and their staff by enabling them to access real-time data.

Important Characteristics

  • Manages individual, group, or joint liability group loans
  • A feature that allows customers to specify a maximum outstanding balance for various loan products
  • The eKYC method simplifies the whole onboarding process for new customers.


  • Management of debts robustly: Mortgages, audit trails, and loan servicing are examples of critical features.
  • The user interface is straightforward to navigate.
  • A flexible, scalable, and elegant solution for any size company


  • Occasionally, customers may have trouble contacting customer service representatives via phone. 

7. TheLoanOffice

TheLoanOffice is an automated platform for loan administration that includes a free trial period. It can now handle all phases of the loan management cycle with ease. There are several benefits to using TheLoanOffice, including increased productivity, customer involvement, and improved collaboration.

Important Characteristics

Most functions may be completed in a one or two-click operation.

Provides high-quality, tailored help from industry professionals.

On-premise server and cloud storage options are available


  • A platform that is very easy to use and has many useful functions
  • First-time customers get excellent tech help from this company.
  • Real-time data sorting and organization using advanced reporting and analysis tools.


  • It is possible to work on the reminders part, which is not visible to users.

8. TurnkeyLender

TurnkeyLender is a free and open-source loan management system that automates and streamlines a wide range of administrative activities. Organizations may use it to handle a variety of financial sectors, including loan cycles, SME financing, and money lending. It’s a cheap, scalable, and adaptable solution with a proven track record.

Important Characteristics

Loans are processed more quickly thanks to the use of automation.

A more accurate and secure system thanks to machine learning techniques

Minimalist design with a user-friendly, interactive Dashboard


  • Excellent security measures as well as a wide range of customizability choices
  • Uninterruptible access to customer-focused support staff.
  • Users may quickly launch new credit products using this solution.

9. AutoPalSoftware’s reporting tool is not well-developed.

Open source loan management software AutoPalSoftware is dependable and data-driven. You may use it with any size company since it’s user-friendly. Autopay allows businesses to create websites where clients can apply for loans and pay them back with ease.

Important Characteristics

An amortization plan, loan servicing, and collections management are all provided by this company.

An organization’s compliance with local and international rules is ensured through this tool.

On-premise server and cloud storage options are available


  • Provides a high level of technical assistance to the clientele.
  • Loan management information may be accessed with a few mouse clicks.
  • A solution that is simple to use and requires little time to master


  • Due to downtime, some users may have difficulty logging in.

10. Fincraft

Nelito Systems’ Fincraft provides comprehensive loan management and banking capabilities explicitly designed for start-ups and small businesses. Risk management, loan servicing, and corporate banking are just a few of the functions it may do. Everything that has to be done daily may be done automatically, thanks to Fincraft.

Important Characteristics

It has a user-friendly dashboard that provides real-time data and essential performance metrics.

For improved decision-making, strong reporting skills are required.

Provides specialized and domain-specific assistance to each user.

Innovation in loan management from origination through closing is a big plus.

User help is provided promptly.

Has a strict data security policy in place to secure confidential data.


  • At times, users may encounter technical difficulties or problems.
  • After everything is said and done ( Habile Technologies)

11. Finabile

Finabile is a powerful and comprehensive loan management tool. It is flexible and can handle a wide range of financial company activities. As a result, everyday operations are more productive, thanks to Finabile’s ability to handle time-consuming collections management, loan origination, and accounting administration.

Important Characteristics

  • It is a cloud storage solution that may also be used as an on-premises server.
  • Has the ability to produce sophisticated reports for in-depth analysis
  • Using a drag-and-drop interface, users may create their dashboards
  • It has an excellent technical support staff that is always ready to help.
  • Key performance metrics are shown on an interactive dashboard.
  • The user-friendly UI that’s simple to navigate
  • There may be bugs creating issues with loading, which would explain the lag.


Loan servicing is without a doubt a crucial task for all firms. The finest loan management software is critical to your company’s success in the market. Consequently, all critical bottom-line outcomes and operational efficiency will be significantly improved.

So, if you want to see a good change in your organization and achieve immediate success, obtain the most acceptable debt management solution.