Magicbricks Realty Services limited(Magicbricks), a wholly owned subsidiary of Bennett, Coleman & Co. Ltd of The Times Group, partnered with Razorpay and HDFC Bank to create a secure online solution “Pay Rent” feature for rent payments through credit cards.
The online solution is created with a focus on the 10 million rental residential household market.
Note:
The estimated market size of the payment of rent through credit card is around Rs.3000 crore.
“Pay Rent” feature:
Magicbricks has activated the security features and has implemented the risk and fraud detection module of Razorpay on the backend to ensure an additional layer of security in order to protect against any misuse.
Benefits:
i.The postponement of a large expense with a 45 days credit period translates to about 1% interest per month.
ii.Using credit cards for the payment of monthly rent will increase the reward points and get offers on credit card payments.
iii.There are 10 million rental residential units in India.Of these, almost 75% are in the Rs 35,000 per month and less rent bracket.
iv.Within this segment, almost 50% of the properties are in the range of Rs 10,000-Rs 20,000 per month with premium properties in cities like Mumbai, New Delhi and Gurgaon pushing up average rentals.
v.The rent for premium properties are in the range of Rs 35,000-Rs 50,000 per month and luxury over Rs 50,000 per month. So this offers us a huge untapped market.
About Magicbricks:
CEO– Sudhir Pai
Headquarters– Noida, Uttar Pradesh
About Razorpay:
CEO– Harshil Mathur
Headquarters– Bengaluru, Karnataka
