Industry SolutionFinancial Services · NBFCs

NBFC Audit Automation for Indian CA Firms

CORAA automates the most complex and time-consuming NBFC audit procedures — from IRACP NPA testing to interest income reversal verification — all from a single Tally data import.

100%
loan accounts screened for NPA indicators
60%
reduction in NBFC engagement time
Zero
manual reconciliation spreadsheets
1
Tally import — all procedures run simultaneously

Why NBFC Audits Are Among the Most Complex

RBI regulatory requirements layer on top of standard Companies Act obligations — creating an audit that demands both banking expertise and deep regulatory knowledge.

IRACP NPA Classification

RBI's Income Recognition and Asset Classification and Provisioning (IRACP) norms require precise NPA staging based on days past due. Manual classification across thousands of loan accounts is error-prone and time-consuming.

Provisioning Accuracy

Each NPA category (Sub-Standard, Doubtful 1/2/3, Loss) carries different provisioning rates. Even a small misclassification has a material impact on the P&L and capital adequacy ratios.

Interest Income Reversal

For NPA accounts, interest must be reversed from income and credited to a suspense account. Verifying this across a large portfolio requires cross-referencing ledger entries against the NPA classification status for each account.

RBI Form Submission Reconciliation

NBFC returns filed with RBI (NBS-1, NBS-2, etc.) must reconcile with audited financial statements. Discrepancies trigger RBI queries — and identifying them before filing requires tedious manual cross-referencing.

What CORAA Automates for NBFC Audits

Import your NBFC client's Tally data once. CORAA runs all of the following simultaneously.

Automated ledger scrutiny across all loan and deposit accounts
GST and TDS reconciliation for fee income and expense accounts
Bank reconciliation across multiple accounts simultaneously
Interest income verification — earned vs received vs reversed
Provisioning calculation cross-check against IRACP norms
Related party loan and deposit identification and testing
Vouching with AI-assisted document matching
100% transaction coverage — no sampling gaps
Working papers generated automatically with full audit trail
NFRA-ready documentation for listed NBFC clients

How It Works

01

Import Tally Data

Export client's Tally data and upload to CORAA. One-time setup per engagement. All loan, deposit, income, and expense ledgers are imported together.

02

AI Runs All Procedures

Ledger scrutiny, reconciliations, NPA indicator screening, interest verification, related party flagging — all run simultaneously in minutes.

03

Review Exceptions & Sign Off

CORAA generates an exception queue and pre-populated working papers. Your team reviews exceptions, adds conclusions, and signs off.

Start Your First NBFC Audit on CORAA

Free 14-day trial. No credit card. India-hosted. DPDPA compliant.