Authors: Vedant Pawar, Hasnain Pathan, Sujal Thombare, Yash Kondake, Aarti Gohade
Abstract: Loan utilization tracking is an important element of responsible lending to ensure that borrowers utilize loan funds strictly for their intended purposes. Traditional monitoring techniques such as physical inspections, manual reporting, and post-disbursement audits are often slow, expensive, and prone to inaccuracies. With the rapid growth of mobile technology, digital finance platforms have transformed loan monitoring through mobile applications, GPS tagging, cloud-based dashboards, digital receipts, photo/video verification, USSD/SMS reporting, and AI-based analysis. This survey paper provides an in-depth review of existing mobile-based loan utilization tracking approaches, studies their benefits in reducing fraud, examines their effectiveness in improving transparency and repayment rates, and analyzes challenges such as privacy issues, digital literacy, and connectivity limitations. The paper also proposes a robust mobile-based framework for lenders to track loan utilization efficiently and discusses future innovations including blockchain, biometric authentication, and advanced analytics to strengthen monitoring systems.
