Paytm and Fullerton India, a non-banking financial institution, have collaborated to bring digital lending to MSMEs and consumers in smaller cities and towns.
“Fullerton India and One97 Communications Limited, which owns the brand Paytm, India’s leading digital payments and financial services platform, have announced a partnership to provide lending products to merchant partners and consumers. With the partnership, the two established institutions will leverage data-driven insights and wide reach to bring credit to new-to-credit users,” Fullerton India said in a statement.
Fintech users will be able to use Paytm Postpaid (buy-now-pay-later) on the Paytm platform due to this agreement. In addition, the alliance will provide lending products such as merchant loans. In addition, both organizations have stated that they will expand their product offerings to include quick personal loans.
“We have seen great adoption of the lending products among consumers and merchants on our platform. We believe that there is a massive opportunity to access credit to merchants in small cities and towns. We continue to focus solely on helping our blue-chip lending partners bring seamless credit products to our customers and merchants. Consumer credit has been growing exponentially through products like Paytm Postpaid and Personal Loans, which we believe can be further expanded through our partnership with Fullerton India,” Bhavesh Gupta, CEO, Paytm Lending, said.
Fullerton India founded in 2007, is one of the country’s largest NBFCs, with more than 628 branches serving 600 towns and 58,000 villages.
Fullerton India Credit Company Limited is owned by Sumitomo Mitsui Financial Group (SMFG), which owns 74.9% of the company. Fullerton Financial Holdings (FFH) is an independent strategic and operating investor in financial and related services in emerging markets, with a 25.1% stake investment in Fullerton India Credit Company Limited.