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Muthoot Fincorp to be BC for YES Bank

Muthoot Fincorp has launched its business correspondent operations in association with YES Bank. The two entities had signed an agreement earlier after the Reserve Bank of India had allowed banks to appoint non-banking financial companies (NBFCs) as BCs. Thomas Muthoot, ED, Muthoot Fincorp, said with this arrangement the company is set to become the country’s first NBFC in the gold loan space to act as a BC to the bank. Muthoot Fincorp rolled out its disbursement of funds for two of YES Bank’s products. Muthoot Fincorp branches will offer comprehensive financial services like credit, savings and insurance to self-help groups and other customers of YES Bank. The bank has 40 business correspondents across the country.

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