PhonePe expands loan offerings with launch of secured lending

PhonePe forays into secured lending, ties up with L&T Finance

Fintech player PhonePe on May 30 launched secured lending products across housing and two-wheeler finance in partnership with NBFC L&T Finance, thus expanding its loan distribution offerings which includes tie ups with Tata Capital, Hero FinCorp and others.

Through the PhonePe app, customers can now access lending solutions for six major categories - Mutual Fund Loan, Gold Loan, Two-wheeler Loan, Car Loan, Home Loan/Loan against Property and Education Loan.

PhonePe has partnered with top lenders like Tata Capital, L&T Finance, Hero FinCorp, and it says 'more lender tie ups will be added in coming weeks'.

The latest collaboration with L&T Finance will offer "Housing and Two-wheeler loans to our users through our newly launched Secured lending platform on the PhonePe app", the fintech player said. PhonePe said it aims to leverage its distribution strength of 535+ million registered users to create a seamless user experience in the secured loans category.

L&T Finance's tie up aims to "revolutionise the lending landscape by harnessing PhonePe's expansive reach and digital platform alongside L&T Finance's expertise in providing trustworthy financial solutions", a press statement said, quoting Sanjay Garyali, Chief Executive – Urban Finance at
L&T Finance.

The MD and CEO of L&T Finance - Sudipta Roy had told Moneycontrol on April 29 in an exclusive interaction that it has signed agreements with four fintech players for origination of personal loans, two wheeler loans, and mortgage loans.

Vivek Chopra, COO - Retail Finance at Tata Capital said their partnership with PhonePe aims to broaden 'accessibility of our lending services to their user base.'