PhonePe Introduces Secure Loans in Collaboration with Multiple NBFCs

PhonePe is offering six distinct credit products to cater to various financial needs:

Loans Against Mutual Funds:

Empowering mutual fund investors to leverage their investments for personal needs or emergencies without liquidating their assets.

Gold Loans:

Providing quick and easy access to funds by leveraging gold assets. Two-Wheeler and Four-Wheeler Loans: Enabling customers to finance their vehicle purchases with competitive rates and flexible terms.

Home Loans:

Assisting individuals and families in achieving their dream of homeownership.

Loans Against Property:

Offering secured financing options for leveraging property assets.

Education Loans:

Facilitating access to quality education for students across the country.

Trusted Partners for a Seamless Experience, To ensure a seamless and reliable lending experience, PhonePe has partnered with prominent financial institutions such as Tata Capital, L&T Finance, Hero Fincorp, Muthoot Fincorp, DMI Housing Finance, Home First Finance, rupyy, Volt Money, and Grad right. With 15 active partners already on board, PhonePe aims to expand this network to 25 by the next quarter, further enhancing its lending ecosystem.

Easy Access Through the PhonePe App

Customers can easily access these loan facilities through the existing ‘Loan’ section on the PhonePe app. By selecting their desired loan category and choosing from a curated list of lenders, users can quickly find the most suitable lending options to meet their financial needs.

Leadership Speaks

Hemant Gala, CEO of PhonePe Lending, expressed his enthusiasm for the launch, stating, “We are excited to announce the launch of our secured lending platform across all major categories with top Banks and NBFCs. This provides us with the opportunity to connect lenders and millions of our customers across the country on a single platform to meet their financial needs. Lenders are investing heavily in digitizing the secured loan journeys, and customers are adapting to the digitization at a rapid pace. We believe it’s a great time to revolutionize the secured lending product experience for the customers working with the lending ecosystem.”

Sudipta Roy, MD & CEO at L&T Finance, highlighted the collaborative effort, “By harnessing the combined expertise and resources of both companies, we are poised to provide best-in-class solutions tailored to meet the varied needs of customers seeking Housing and Two-wheeler Financing. This collaboration underscores our dedication to empowering individuals and families to realize their homeownership and mobility aspirations. Customers can anticipate streamlined processes, competitive rates, and personalized services that prioritize their financial well-being.”

Commitment to Financial Inclusion

Vivek Chopra, COO – Retail Finance at Tata Capital, emphasized the significance of this partnership, saying, “Our partnership with PhonePe aims to broaden the accessibility of our lending services to their user base. This partnership not only reinforces our digital-first approach but also highlights our effort to boost credit penetration across India.”

Bharat Lamba, Co-Founder & Chief Business Officer of Volt Money, shared a similar sentiment, “We are excited to join forces with PhonePe to redefine the borrowing experience for millions of individuals across India. Through this partnership, we are leveraging PhonePe’s extensive reach and Volt Money’s unique & seamless financial offerings to empower mutual fund investors with a convenient way to access funds at low cost for various purposes, such as personal needs, working capital, or emergencies, while still creating long-term wealth by staying invested in mutual funds.”

Aman Singh, Co-Founder of Grad right, added, “Our collaboration with PhonePe is perfectly aligned to our mission to democratize the access to education finance for students from lower and middle-income students, in every corner of Bharat. PhonePe changes the game by changing our service opportunity from a few thousand to millions of students. Our technology-first approach offers us a unique advantage to match the speed and reliability of PhonePe and serve its customers who wish to avail education loans.”

Conclusion

PhonePe's entry into the secure loans market marks a significant step towards financial inclusion and digital transformation in India. By leveraging its extensive user base and partnering with trusted financial institutions, PhonePe is set to provide accessible, efficient, and reliable lending solutions to millions of customers. As the platform continues to expand its partnerships and enhance its offerings, users can look forward to a new era of convenient and secure financial services.