Lendingkart partners with Bank of Maharashtra to provide low-cost MSME loans

Lendingkart Technologies subsidiary Lendingkart Finance has partnered with Bank of Maharashtra to co-lend commercial loans to MSME borrowers across India at low interest rates.

Through this partnership, the fintech start-up aims to make credit available to MSME borrowers on their doorstep, powered by the zero-contact technology platform Lendingkart “2gthr”. MSMEs will be eligible for loans of up to ₹10 lakhs.

Last week, Lendingkart also announced a similar partnership with Canara Bank.

The “2gthr” platform enables co-lenders to underwrite business loan applications using the “cred8” cash flow based valuation model with premium dashboards outlining the visibility of the end-to-end funnel on loans at different stages. As part of the deal, the Bank of Maharashtra will also leverage Lendingkart’s origination platform ‘xlr8’ to distribute loans to MSMEs from multi-channel strategies supporting its vision of financial inclusion.

AS Rajeev, Managing Director and CEO of Bank of Maharashtra, said, “The partnership under the co-loan agreement will result in a large disbursement under the priority sector loans and it will put funds to the available to the final beneficiary at an affordable cost. The Bank of Maharashtra encourages such agreements and adopts digital channels to facilitate the provision of credit in a transparent manner. This partnership will pave the way for sustainable growth of the Bank’s MSME lending portfolio. »

Harshvardhan Lunia, CEO and Co-Founder of Lendingkart, said, “We aim to improve financial inclusion to complement Reserve Bank of India’s vision and enable MSME borrowers to achieve higher growth in their respective sectors. Bank of Maharashtra will help Lendingkart bridge existing credit gaps in the financial services market and together we aim to solve and contribute to the country’s GDP growth.

Published on

January 25, 2022

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