India’s first co-lending platform helps Utkarsh Small Finance Bank with seamless onboarding to enable a broader customer base and quick growth for the bank
Chennai, 24 May 2022: CredAvenue, India’s first and largest co-lending marketplace, today announced the onboarding of Utkarsh Small Finance Bank. This partnership paves the way for the bank to expand its loan portfolio while also opening avenues for mutually beneficial 100:0 partnerships with non-banking financial companies (NBFCs), housing finance companies (HFCs) and microfinance institutions (MFIs) and fintech/digital finance players via the platform.
CredAvenue’s co-lending platform also facilitates Business Correspondence (BC) arrangements, in which the lender to originator ratio in co-lending is 100:0. However, in this case, the originator will help the lender enhance access to customers and markets by leveraging its depth of penetration.
Joint lending alliances help both parties enter new geographies, and expand the customer base, while also benefiting the customers in the long run, making it a winning proposition for all the stakeholders.
The CredCo-Lend platform has a robust infrastructure to power the end-to-end loan life cycle and ensure compliance. It has a user-friendly interface, providing a seamless experience for the end-users. Apart from convenience in loan creation and helping in joint underwriting, it also provides post disbursement support, portfolio monitoring, invoicing and settlement with real-time information processing.
N.V. Shivkumar, Head of Retail Assets, Utkarsh Small Finance Bank, said, “We are excited to be a part of CredAvenue's platform for BC partnerships. With this partnership(100:0), we aim to tapthe underserved population through the last mile reach of regional NBFCs/MFIs and Fintech players. CredAvenue will not only help us expand our reach; but through their end-to-end portfolio management & monitoring solutions, we will build a diverse and profitable portfolio across multiple sectors.”
Speaking on the partnership, Devarsh Mapuskar, Business Head - Co-lending, CredAvenue, said, “This marks the introduction of India’s small finance banks into the co-lending marketplace and opens opportunities further for business correspondent (BC) arrangements. Going forward, Utkarsh Small Finance Bank is expected to enhance its financial reach by partnering with multiple NBFCs/HFCs/MFIs/Fintechs, impacting thousands of customers.”
CredAvenue’s CredCo-Lend platform connects originators and lenders interested in co-lending and helps kickstart the evaluation process. It enables technology integration and a smooth journey right from origination, underwriting, disbursement, and collection to portfolio monitoring and settlement and invoice offerings. CredCo-Lend also offers credit and risk evaluation and program execution, including – disbursements, collections, operations, reporting and portfolio management, and analytics for both originators and lenders. CredAvenue’s CredCo-Lend also supports BC partnerships – being able to incorporate all co-lending partnerships.
CredAvenue is India’s leading enterprise debt marketplace that connects enterprises with lenders and investors. It is a global pioneer that aims to revolutionise and deepen debt markets and is the only one of its kind that provides a comprehensive debt product suite to all its borrowers. The company has a portfolio of 5 platforms catering to every requirement of both borrowers and investors -
1. CredLoan (Loan Platform) - Term Lending and working capital solutions for enterprises
2. CredCoLend (Origination platform) - For banks and NBFCs for co-lending partnerships
3. Plutus (Bond Platform) - Bond Issuance and Investment for institutional and retail participants
4. CredSCF (Supply Chain Platform) - Trade Financing solutions
5. CredPool (Pool Platform) - End to end securitisation and portfolio buyouts
In addition, the company also offers portfolio management and monitoring services as a SaaS offering to its borrowers and lenders. CredAvenue currently has over 2300+ Corporates, 750+ Lenders and has facilitated debt volumes of over INR 90,000 Crores. CredAvenue is an organisation on a mission to deepen and power the $120 trillion global enterprise debt market to unlock a GDP multiplier and create massive economic value.
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