FinMomenta, a digital lending platform on Monday introduced another core loan segment on their platform (www.tachyloans.com) called Corporate HR loans for employees to make borrowing money easier at times of emergency.
This step by the company will allow employees of corporate firms to borrow money at preferential rates and ensure instant loan approval in less time. It eliminates the need for the employees of mid-sized corporates to take time off work, physically visit banks to apply for loans and also follow up for approval and then documentation.
FinMomenta ties up with corporates and provides a link within the Corporate's intranet portal where the employees can simply log-in and apply for a loan. The rest is taken care by FinMomenta with features like digital borrowing screening, quick approval and direct disbursement of loan to the employee's bank account. The repayment is done in equal EMIs. FinMomenta expects the corporates to deduct the EMI before disbursement of salary to the employee.
In a credit starved country like India, FinMomenta makes a real difference in the financial inclusion space and attracts both individuals and businesses in terms of being simple, quick and rates that appeal to both lenders and borrowers.
Speaking on this new initiative, said, "Digital lending is a paradigm shift for the entire financial industry. Over the years it has proved to be a streamlined lending process. We are honoured to be the first ones in the industry to introduce Corporate HR loans which has the potential for huge immediate growth in the digital lending space. This will be a big value addition to the corporates tying up with us," said COO and co-founder of FinMomenta, Naveen Madgula.
With corporate HR loans, employees can avail any loan starting from Rs. 50,000 to Rs. 5, 00,000 with minimum interest rate of 11.50 percent to 25 percent per annum with six months to three years loan tenures. The loans are available for borrowers in 50 cities in India. Traditionally employees went through banks to get loans. This need was later fulfilled by NBFCs in addition to banks, besides money lenders in the unorganized sector.
However, over the past few years, it has become increasingly difficult to avail a loan through banks. In today's world, where everyone is hard pressed for time, people are finding it a real pain to take time from their routine and go after banks in case of any financial need. It is precisely this pain point that FinMomenta aims to address and make it a win-win situation for the borrower and the Corporate.
From a corporate employee's perspective it means convenience of getting a loan without having to chase banks and for the Corporate it is a significant employee friendly step thereby resulting in increased employee satisfaction and loyalty.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)