Sachin Bansal’s Navi launches app for personal loan

Sachin Bansal has been a busy man after a short sabbatical, following his exit from Flipkart. Around late 2018, he began scanning the market to find a perfect sector to startup into. And, within a year, Bansal found an answer to his quest in the financial technology and banking space.

While Bansal has to wait a little more to procure a universal banking license, he has made a debut as an entrepreneur in the consumer internet space with an app — Navi. The app, at the moment, provides an instant personal loan of up to Rs 2,00,000 with minimal documentation. Navi’s consumer-facing app targets low income-focused groups.

The move is in line with Bansal’s plan to open a digitally-led bank that will primarily focus on lending to individuals, MSME sector and small corporates. 

According to the information provided by Navi on Play Store, it offers a collateral-free loan with a higher limit of Rs 2 lakh for individuals with a monthly income as low as Rs 10,000. Any Indian adult can apply for a loan by feeding in basic details such as PAN and Aadhaar number. 

For repayment, Navi provides a flexible EMI option for the consumers. Launched, just a couple of days ago on Android, the app appears to be in beta mode. We tried to avail the offerings from multiple accounts. However, it ends with a message, “reapply after 90 days.”

Formerly known as BAC Acquisitions, Navi Technologies is an over 15-months-old old firm. The launch of the app came after Bansal had infused over Rs 3,007 crore in the business-focused financial services arm of Navi at the beginning of April. A week later, Bansal was appointed as MD of Navi Technologies and raised its first external investment from Gaja Capital.

Entrackr had exclusively reported both developments.

The reason behind the acquisition of Chaitanya Rural Intermediation Development Services (CRIDS) has also become evident from Navi’s focus on low-income groups. Over the years, CRIDS has been focusing on disbursing loans targeting borrowers in states such as Jharkhand, Bihar and Odisha.

With the app, Bansal has been able to assemble a big missing element to strengthen his claim for a banking licence. Now, Navi directly competes with NBFCs focusing on B2C loans and indirectly with InCred, Capital Float and a few others.

Source link

What do you think?


Leave a Reply

Your email address will not be published. Required fields are marked *





How Startups Are Fulfilling Tier 2-3 Essentials Needs?

IT Ministry Lists Five Indian Startups Making Work From Home Safer