After digitalization, the Bank’s Credit appraisal process has shifted from traditional-based to Credit decisions with technology, and loan management software without AI initiatives. Due to this, the technology expenses of the banks have become huge. Loan origination and loan servicing systems are together known as loan management systems.  Loan management software enables banks to complete the loan process, with less time and removing human error. The present study is to review the credit appraisal process done through the existing Loan management software without AI initiatives in minimizing the NPAs for banks. The banks selected for analysis are Axis Bank and Canara Bank. The study is to find the growth percentage of NPAs in both banks through geometric mean, and through which, a trial to review the suitability of the credit appraisal process and efficiency of the existing loan management soft wares of banks in appraising a borrower. Further, the study also emphasizes, the role of AI and ML initiatives in credit appraisal. The data is collected from the websites of banks, newspapers, blogs, and research articles of various authors.