Generally, if a person needs a working capital loan or a term loan, approaching a public sector bank is the first thought that comes to his mind because they provide better terms and conditions. But the procedure involved is a bit complex in terms of filling up of an application form, personal discussions, and credit appraisal.
Tired of this tedious process? Approach the non-banker to get your loan granted in an extremely easy, simple and faster way.
Let us first understand what is a non-banker lender? Non-Bank Lenders are one which does not have a banking license or is not supervised by any banking regulatory agency.
Non- Banking Financial Companies (NBFCs)
NBFCs have that kind of flexibility, as well as risk bearing capability to fund a proposal, in case it is not matching up with the major parameters like turnover, credit score, cash profit and business vintage etc. Their policies are a bit liberal as compared to the private/ public banks.
Some of the major players of NBFCs are India bulls, TATA Capital, Fullerton, and India Infoline (IIFL) etc.
P2P Lending Platform
It is a platform where lenders and borrowers directly connect. The borrower can borrow money with lower interest rate and the lender can earn high returns compare to the others investment products. It can be possible that there are multiple lenders for a single borrower.
Generally, the rate of interest is 12% – 28% p.a., amount of Loan is up to 10 lakhs and tenure of loan is up to 36 months
FinTech platform is a combo of the Finance & Technology. It consists of the banks, Financial Institution and peers to peer lending platform. Basically, it is an advanced version of the P2P lending platform. Being an online digital platform the collection, verification, and analysis of the documents are done online. Usually, these platforms are associated with different lending institutions and players, which provides services to the fund seeker and fund provider.
Benefits of Non-Bank Lenders
- More flexible in meeting one’s specific requirements
- It’s a good option even in case, credit rating is low
- Better customer services
Our FinTech Platform – Is an Artificial Intelligence Platform, which provides services to the fund provider & fund seekers.
CapitaWorld has three unique concepts,
One form concept – This is based on “One Form for All Form”. Usually, application form of all banks is covered in the format.
Matching criteria – This is based on “Right Proposal -Right Person”. Matching has been done between the parameters provided by the fund provider and the data provided by the fund seeker.
Credit scoring concept – There is a unique internal system, which provides the credit score to each fund seeker profile.CapitaWorld is a facilitator which connects fund seeker and fund provider in an automated way.
Thus, Non-bank lenders play a major role in financial/loan market, as they are not using the traditional credit appraisal system and communication system. They have changed the market scenario by providing easy funding for all.