Achhe din seems to be here for applicants who do not have enough credit score to acquire loans. Digital lending company CASHe has launched an alternate credit rating system – ‘The Social Loan Quotient’ (SLQ). The company has claimed that this is the first-of-its-kind move through which will scan social behaviour of the applicants and show the credit score.
The SLQ will eventually eye 129 million population deprived of credit due to lack of credit history. According to the company statement, SLQ is a fast, unique and a path-breaking real-time platform which leverages big data analytics, artificial intelligence and predictive tools. The innovative platform will help score millions of Indians, who otherwise have been left in the lurch for lack of consumer credit in the absence of credit history.
According to recent industry reports, 156 million of Indians who comprise the ‘urban mass’ and urban middle’ section representing an annual income of USD 3000 and above have the potential of mass adoption of consumer credit. Of this, the ‘urban mass’ constituting approximately 129 million have been mostly deprived of credit due to lack of credit history. With an aim to reach out to the masses prefer to avail small ticket loans for short term, the company said that the SLQ replace the traditional lending platforms such as banks and NBFCs’ find it unviable to serve the segment.
The scores are generated in REAL TIME and will enable the customer to know, within a few seconds, if he qualifies for a loan with CASHe or not. Subsequently, on completion of the loan application process, every customer’s personal SLQ score will now be displayed to him. This will provide the user with a reliable tool for accessing his/her creditworthiness, the company said in a statement.
“Credit is critical for the growth of an economy. It incorporates the element of aspiration and infuses growth to keep the economy up and running. However, the lack of alternative credit models, challenging capital eco-system and an unviable cost structure have kept mass India deprived of quick and reliable credit. Through SLQ, we are focused on those who may have little or no credit history with traditional lending institutions. We hope this will revolutionise the digital lending space in the country and encourage other credit institutes and agencies to avail ‘SLQ’ as the go-to platform to assess creditworthiness of mass India,” CEO of CASHe Ketan Patel, said.