💡 The ultimate challenge for any lending fintech: How do you collect payments without making customers feel chased?
For R2, a fintech that has provided over $85M in credit to small and medium-sized businesses (SMBs) across Latin America, the answer wasn’t so simple. Their customers—restaurant owners, neighborhood stores, cafés, and digital startups—needed flexible financing without the stress. But when sales dropped, collections became a major issue.
🔄 The problem wasn’t lending money—it was getting it back on time.
When collections become a problem instead of a solution
In a perfect world, businesses would pay their loans with their revenue. But reality looks more like this:
🔹 Sales fluctuate. One month is great, the next barely covers expenses.
🔹 Collections shouldn’t feel like harassment. Calls, reminders, and chasing customers can damage relationships.
🔹 Relying solely on daily cash flow is risky. What happens when sales aren’t enough to cover payments?
R2 knew they needed a real solution—not just a more aggressive collections strategy. But direct debit, the best way to automate payments, wasn’t an easy option.
❌ Implementing it directly with banks was a bureaucratic nightmare.
❌ Adoption in Latin America was low—customers weren’t used to it.
❌ The technical process was complicated and expensive.
The solution? Automate collections without losing control.
From manual effort to an efficient strategy with Belvo
💡 R2 turned to technology to make collections smarter. With Belvo, they implemented direct debit payments, and everything changed.
🔥 Here’s what made the difference:
✔ Automatic payments, no longer tied to daily sales. Customers could now schedule payments without worrying about due dates.
✔ Fewer failed attempts, more money recovered. Automation eliminated manual and inconsistent processes.
✔ Chargebacks under control. Instead of trying to collect full amounts at once, R2 started breaking payments into smaller, more manageable parts.
The results that changed the game
📉 Chargebacks dropped from 70% to 31%.
📈 Over MXN $1.3M recovered in just one month.
🔎 Debt recovery rates improved from 13% to 19%.
💰 Lower operational costs. R2 reduced its reliance on third-party collection agencies.
By optimizing its collections model, R2 turned a problem into a competitive advantage. More money recovered, less friction with customers.
What’s next?
With these results, R2 is now scaling its model to new markets. The goal: make direct debit their primary payment recovery channel in 2024.
“Thanks to Belvo, we transformed our collections model and risk assessment. Reducing chargebacks to 31% and recovering over MXN $1.3M in just one month has made a direct impact on our efficiency and customer trust.”
— Ángel Coronado, Head of Collections at R2
Final thought: Collecting payments doesn’t have to be a struggle
When technology is properly implemented, payments flow smoothly. R2 found in Belvo the missing piece to turn collections into an opportunity rather than a burden.
🚀 How many other companies could optimize their collections strategy with a smarter approach?
