BharatPe Forays into Secured Lending: Launches Gold Loan for Partner Merchants

BharatPe, one of India’s fastest growing Fintech companies, today announced the launch of a Gold Loan for its Merchant Partners. This marks BharatPe’s entry into the secured lending category. The company has partnered with RBI approved NBFCs to offer a gold loan of up to 20 lakes. BharatPe has already launched the gold loan offer for its merchants in Delhi NCR, Bangalore and Hyderabad and will expand it to 20 cities by the end of 2022. It has set itself the goal of facilitating disbursements from 500 crores by the end of 2022.

An industry leader in the Fintech segment, BharatPe facilitates gold lending at an extremely competitive interest rate of 0.39% per month. The loan application process is completely digital and the loan is disbursed within 30 minutes of completing the assessment process. Traders can see the best deal for them and apply for gold loan through BharatPe app. The company provides home and branch collection facilities, in partnership with NBFC partners. Merchants can take out loans with terms of 6, 9 and 12 months and have the option of repaying the loan via Easy Daily Installments (EDI). BharatPe will also launch the refund EMI option soon. The QR code-enabled product offering makes it easy to apply for a gold loan, with minimal paperwork.

Speaking on the launch of Gold Lending, Mr. Suhail Sameer, CEO of BharatPe, said, “The credit gap is one of the biggest hurdles in the growth journey of offline retailers. Over the past two years, we have aggressively focused on solving this problem by facilitating unsecured lending in partnership with NBFCs. We were able to facilitate the disbursements of more than 3000 crores to 3 lake merchant partners. With the Gold loan, we have ventured into the category of expensive secured loans. Lending gold will allow us to further empower our merchant partners and positively impact millions of small businesses. We had been piloting the product for 2 months and the response was very encouraging. We facilitated the disbursements of 10 crores during the pilot phase. We are confident that with our lucrative gold loan product which is available at a competitive interest rate, the best disbursement rate in the industry and with the ability to pay via EDI, we will be able to facilitate gold loan disbursements from 500 crores by the end of the year.

BharatPe has facilitated unsecured loans of up to 7 lakes, offline merchants and kirana store owners. The company offers unsecured loans for a term of 3/6 and 12 months. The loan application process is 100% digital and merchants can pay via easy daily installments (EDI). The company has become one of the largest B2B fintech lenders in the time of the pandemic in 2020. Recently, BharatPe announced that it has increased its POS business network (BharatSwipe) by 25X to over 250 cities in course of the last 12 months. BharatPe has already deployed more than 1.25 lakh of BharatSwipe machines in offline shops. Achieving this rare feat in a short span of almost a year and a half, BharatPe has written history as the fastest scaling up of POS business in India ever.