On December 2, 2020 Paytm partnered with Suryoday Small Finance Bank(SFB) Ltd to offer collateral-free instant digital loans to MSMEs(Micro, Small & Medium Enterprises). This will empower the MSMEs. This is the 1st lending partnership for Paytm with a small finance bank to help merchants to avail loans seamlessly.
Aim of the Partnership
- To democratize access to loans for small businesses and merchants and promote financial inclusion.
- Paytm and Suryoday SFB aims to disburse loans to more than 1 lakh small businesses in the next 12 to 18 months, through this partnership.
Key Info
i.Paytm and Suryoday SFB by offering instant microloans to businesses that are unable to access financial services from traditional banking players, furthers the cause of financial inclusion.
ii.Suryoday SFB’s partnership with Paytm on the lending side is API(Application Programming Interface)driven, which brings a secure, intelligent, and connected digital experience to the customers.
About Instant Digital Loans:
General Info
i.As per the agreed credit policy of the bank, the underwriting will be done within seconds.
ii.After the completion of the entire process i.e, from application to approval on the Paytm app, the loan amount will be disbursed directly into their bank accounts by Suryoday SFB.
iii.The systems are designed for real-time approval and disbursement thus guarantees a superior customer experience.
Benefits:
Merchants can transact with the bank and avail loans with a tap on the phone, as the entire process to avail loan is fully digitally and hassle- free.
Recent Related News:
On 19th October 2020, BSE (formerly known as Bombay Stock Exchange) signed a Memorandum of Understanding with the Industries and Commerce Department, Government of Telangana along with GlobalLinker to support micro, small and medium enterprises (MSMEs) of the state to raise equity funds.
About Paytm:
Headquarters– Noida, Uttar Pradesh
Founder & CEO(Chief Executive Officer)– Vijay Shekhar Sharma
Founded– August 2010
Paytm’s lending business CEO– Bhavesh Gupta
About Suryoday Small Finance Bank Ltd:
It is one among the 10 companies and the only one from Maharashtra to obtain a ’Small Finance Bank’ licence from the Reserve Bank of India (RBI).
Launched-January 23rd 2017
Managing Director(MD) and CEO– Baskar Babu Ramachandran
Tagline– A Bank of Smiles
Headquarters– Navi Mumbai, Maharashtra
