MyLoanCare came into being with the idea of establishing an online loan marketplace in 2013, when three professionals happened to discuss their not-so positive experience in availing loans from banks and agents. That discussion led to a belief that a large section of Indian consumers can benefit from a channel which can help them compare, shortlist, finalise and avail digitally the right loans with relative ease and no hidden charges.
With these broad objectives in mind, this startup started transforming the way people borrow in India. The solution from MyLoanCare claims to offer a convenient, transparent, bank-neutral and trustworthy online platform for availing loans and credit cards. Its technology-driven process resolves the pain points in traditional banking such as information asymmetry and lack of transparency.
“MyLoanCare is a multi-product platform which offers all types of retail and SME loans. We have seen good traction across product categories including personal loan, home loan, gold loan and credit cards. Our new product categories such as fixed deposits and business loans have also picked up pace in the last few months. Our platform is disbursing loans worth `1000 crore on an annualised basis in the current financial year. In FY17-18, we not only grew more than two times over the previous year but also achieved profitability at net level, an industry first,” informs Gaurav Gupta, co-founder and CEO, MyLoanCare.
The startup leaverages on innovative technology and processes with its in-house capabilities; CRM and bank integrations. “We now serve customers in over 1,100 locations in India. Our 150-people team is building credit solutions and loan processes that take the pain away from a customer’s loan journey. We plan to helping more and more people to avail credit tailor-made to suit their eligibility at comparatively nominal interest rates,” Gupta tells.
MyLoanCare banks on technology for building algorithms to identify suitable loan offers for a customer to minimise subjectivity, enhancing the functionalities and experience for mobile users, building strong customer analytics for targeted offerings and deeper integrations with lenders for quicker and efficient processing of a loan. “Nowadays, many of these technologies are converging and resulting in the next level of applications resulting in new business opportunities. Our focus is to integrate these technologies and build customer-centric solutions that are agile, scalable and integrated in nature,” he says.
Typically, the time and formalities required to get a loan depend on the nature of the loan and the bank policies. However, if a customer applies for a loan through MyLoanCare, it ensures a faster turnaround compared to other channels. Typical turnaround times range from a day for a gold loan to up to 15-20 days for home loan. The customer profile-based filtering, real-time technological integration with banks and a dedicated loan officer work together to bring down the turnaround time across categories. For example, in a category such as credit card, it can check for soft approval, which is just subject to final document verification, based on customer’s eligibility in real-time and communicate the same to the customer instantly. For gold loans, it guides the customer to the nearest gold loan branch of a bank and fixes an appointment for a branch visit on behalf of the bank instantly, thus reducing the processing time significantly.
Its mobile app encompasses all functionalities that the website covers such as comparing, filtering and applying for various loan products. Recently, the startup has started offering customers access to free credit score report besides allowing them to track the real-time status of their loan applications. It is also in the process of integrating the app with WhatsApp based chatbots.