Kreditech, a leading firm involved in digital consumer lending using machine-learning based underwriting, received license from the Reserve Bank of India to operate as a NBFC in India. It is the first time this license has been granted to any operation in the history of the finance industry in India. Kreditech claims it is aiming to revolutionize the consumer credit market by assessing the creditworthiness of individuals solely based on alternative data. With the newly acquired license, the company is now ready to offer a broad range of online consumer credit products to Indian customers. Its product suite for India includes highly individualized direct-to-consumer loans as well as its Lending-as-a-service solution for vendors (LAAS), which allows partners to offer customized credit products to their customers. Ashish Kohli, MD and CEO, India operations of the company, said the license has considered the company’s robust systems, technology and customer grievance redressal mechanism. He said the company’s business model is based on an entirely digital end-to-end solution, right from origination to digital disbursement to collection.
