Non-banking financial company IIFL Finance and financing platformhave entered into a partnership to build a $1 billion worth of loan book over the next two to three years.
The partnership will enable IIFL Finance to get access to ZestMoney’s customer base through its platform.
According to a press release, the partnership complies with the recently released RBI guidelines on digital lending. As a lending service provider, ZestMoney will also work as a sourcing and servicing partner.
IIFL Finance has loan assets under management (AUM) of $6.5 billion, and ZestMoney has disbursed $1 billion through their platform.
“ZestMoney has built a solid technology platform and captured a strong customer base through deep integration with more than 10,000 online merchants and 75,000 physical stores. With 5G and India stack, people in small towns or even rural areas can get credit in a completely paperless and without any human contact to meet their consumption or working capital requirements,” said Nirmal Jain, Founder, IIFL Group and Managing Director, IIFL Finance.
The partnership will leverage the joint technology capabilities, Zestmoney’s reach and product delivery, and IIFL’s deep capital pool, solid finances, and digital underwriting expertise.
“We have been seeing a solid demand across our online and offline partners and this partnership will help us service demand and learn from the deep financial expertise and Digital Underwriting Capabilities that IIFL has built over the last three decades,” said Lizzie Chapman, CEO and Co-founder, ZestMoney.