App to benefit InstaMoney customers, cater to pandemic-induced credit demand and contribute to digitisation story
LenDenClub, India's largest peer-to-peer lending platform, has launched InstaMoney Plus, an app to provide customers premium advantages which include Digital Credit Line and Digital Credit Card along with UPI to offer easy access to credit across both online and offline platforms. Users will now be able to make payments, shop online or pay at any retail stores. Upon analysis of its internal customer data, LenDenClub has discovered that most borrowers on its platform need short-term loans or more credit on their existing loans when in crisis, such as medical emergencies, salary delay, and the like. InstaMoney Plus will cater to these problems that users face, especially during unpredictable times.
Once the user repays their dues, the new platform will automatically top-up the money in the InstaMoney Plus account. It will ensure that users have access to cash at any given time, for any emergency purposes, with no requirement of new applications, documents or physical visits. Loan application and approval times have been reduced to zero from the previous three-five-hour slots. Users will need to pay interest only on the used amount, and not on the top-up.
During emergencies, users will have higher credit demand. Borrowers in the low-income range and those who are new to credit often face rejections. With the latest InstaMoney Plus upgrade, existing borrowers on the platform will automatically become eligible for higher credit limits up to Rs. 25,000 from Rs. 12,500 earlier, without any additional documentation. The user can also control the credit limit, thereby optimizing the usage. Furthermore, users can repay dues at ease by converting the dues into affordable and flexible EMIs from one month to four.
InstaMoney Plus is an upgrade by LenDenClub on its existing flagship digital lending platform InstaMoney
InstaMoney is a flagship digital lending platform of LenDenClub, an RBI registered NBFC-P2P. It is an instant short term personal loan product for salaried individuals looking for short term and small loans. It will be of substantial benefit for low salaried millennial residing in tier II & III cities who find it challenging to avail credit during emergencies from traditional lending institutions like banks.
On the release of InstaMoney Plus service, Bhavin Patel, Co-founder & CEO, LenDenClub, said, "During the pandemic, we have witnessed there has been a rise in credit demand for emergency usage, multiple times by the users. Hence, InstaMoney Plus has been introduced for easy access to cash 24x7. With this upgrade, we hope to provide benefits to our loyal existing customer base, especially during an uncertain time like now and also contribute to the country’s digitisation story.”
LenDenClub recently became the first P2P lending company in India to become profitable and crossed the Rs. 500 crores mark in loan disbursements in Financial Year 2020-2021. The company has already disbursed more than 2.5 lakh loans through its Pan-India platform. The company aims to scale up substantially, eyeing a five-fold growth in the next two years and aims to disburse Rs. 1,200 crores worth loan in FY 2021-2022.