According to a latest report* India is all set to overtake China in 2018 to become the world’s fastest-growing large economy and since half of India’s population is middle class, there has been an exponential growth in the loan sector as well. The Bank loan growth in India** increased significantly from 4.10 percent in March 2017 to 10.30 percent in March 2018 indicating that more and more people today are applying for a cash loan to fulfill their needs.
Personal loans have proven to be extremely helpful in times of unforeseen expenses such as car repairs, medical emergencies, home renovations and what not. But just a few years ago, applying for a loan from a bank was an arduous task which involved standing in long bank queues, filing endless number of forms and documents, waiting for weeks and sometimes even months to hear from the bank for a revert/ resolution.
But with the development in technology and digitization, the whole process has become more simplified and streamlined. Home Credit being one of the leading online finance providers, with its state-of-the-art technology, promises its customers a hassle-free, automated personal loan online application and approval. It firmly believes in quick disbursal of loans to its customers. It sanctions loans and deposits the amount straight into your saving account within few hours with just as less amount of work.
With increasing day to day needs most of us require a substantial amount of money which is why applying for cash loans from Home Credit helps. And to make the loan approval and disbursal process easier and quicker for its customers, Home Credit has recently launched paperless e- KYC platform, wherein the whole KYC procedure is performed electronically. This has accelerated the process of loan approval and disbursal because the KYC procedure that used to take weeks, now takes just minutes with e-KYC.
What is KYC and how does it help in loan approvals?
KYC, also known as, ‘Know Your Customer’, is a directive implied by the Reserve Bank of India to the banks and online finance providers to obtain information of their customers to prevent money laundering, identity thefts, signature forgery, financial frauds and other unsavory activities. It is an indispensable banking requirement and only when the details are verified, a loan can be applied.
Why should you file KYC?
- KYC helps to ensure that the services are not being misused and confirms your authenticity as a customer or a borrower.
- It also helps banks to understand your financial dealings in a transparent way which in turn helps the banks/ online lenders to manage their risks in a prudent manner.
What should you know about e-KYC?
e-KYC (Electronic Know-Your- Customer) is a process of sanctioning the loan online using internet within a few minutes. This has been made possible due to advancement in technology which makes the documentation and verification a quicker procedure.
What are the benefits of e-KYC when applying for cash loans online?
- With Home Credit’s paperless electronic KYC (e-KYC), customers won’t have to submit physical documents for loan approvals.
- e-KYC fast tracks your personal loan and cash loan applications for easy disbursal of loans.
- With the help of e-KYC, the verification process that used to take days will now happen within hours and this, in turn, will help in instant loan approvals.
- e-KYC links your Aadhaar Card with your KYC. This helps to authenticate your identity through one ID.
The breakthrough in technology has helped many finance providers to improve their products and services. Paperless e-KYC has not only made the whole process of filing cash loan hassle-free but it has also reduced the loan sanction time to as little as one business day.
The easy and instant disbursal of loans from online finance providers is also helping the consumer durable market to grow. In a latest report submitted by ICRA*** the consumer durable market is all set to grow at a rate of 21-24% per year because of instant and easy loan schemes offered by online finance providers to their customers.