Mirae Asset Financial Services will offer unsecured personal loans by the end of 2023, director and chief executive officer Krishna Kanhaiya said.
“In February, we started co-lending with KreditBee in the personal loan space, where the sourcing is done by them and we do the underwriting. We are planning to come out with our own unsecured personal loan product in the fourth quarter of this fiscal,” he said. “At some point of time, we will also get into corporate lending. We will look at emerging corporates and SME space. We will do bill discounting or supply chain financing to start with.”
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The non-banking financial company (NBFC) is also looking to offer loans against investments in sovereign gold bond by the end of 2023.
The maximum loan amount is Rs 10 million against equity mutual fund, and Rs 30 million against debt mutual fund. Typically, loan against equity mutual fund is offered at a loan-to-value (LTV) ratio of 45%, whereas loan against debt mutual fund is offered at an LTV of 80%.
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The tenure of these loans is 12 months, and they can be renewed thereafter. These loans come at an interest rate of 9% per annum and have a processing fee of Rs 999.
So far, the non-bank lender has sanctioned loans worth Rs 110 crore. Of this, around Rs 58-59 crore has been utilised. The company plans to take the loan sanctioned to Rs 600 crore, and amount utilised to Rs 300 crore by the end of 2023.