Digital Lending in India - The Kuwy Take

Technology is considered to be one of the boons of our time but it also comes at a high price. According to several reports, technology has helped many industries, including the finance sector to reach out to a larger demographic, however, there are quite a few risks involved. One of the major barriers in technological advancement is the people’s ability to understand and adapt. Kuwy tries to simplify digital lending for you.

Digital Lending in India

Digital lending involves giving and recovering loans through web platforms or mobile apps like Kuwy. It facilitates speedy disbursals and helps the process become significantly cheaper. In India, Lending Service Providers or LSPs collaborate with Non-Banking Financial Companies or NBFCs to disburse credit to customers.

Reserve Bank of India categorizes digital lenders on below criteria:

  • Entities which are regulated by the RBI and are allowed to carry out lending business.
  • Entities that are authorized to carry out lending as per other statutory or regulatory provisions but are not regulated by the RBI.
  • Entities lending outside the purview of any statutory or regulatory provisions.

The RBI has also introduced a series of regulations to safeguard customers from unethical business conduct, exorbitant interest rates, and excessive engagement of third parties.

How do ‘they’ know what ‘you’ know!

Digital lenders use aggregators to fill the knowledge gap that lies between the lender and the customer. Aggregators are platform providers that offer consumers comparative analysis of the best solutions available in the market, after fine-tuning their search filters, and other analytical parameters.

The aggregators use third-party services and API gateways to pull information about the exact needs of the customers from multiple data sources and then display the array of products for the customers to choose from.

Where does Kuwy stand in the digital lending world?

Kuwy uses AI as a key enabler from eligibility forecast to the point of creating customized loan offers for the customer. The gap between the lender and customer at Kuwy is bridged through AI-based Lender Selection Algorithm (LSA) and streamlining Profile-based Product Offering (PPO) from lenders without any manual intervention.

Kuwy is India’s first automotive fintech platform that connects dealers, lenders, OEMs and customers digitally. It simplifies auto loans by facilitating end-to-end digital loan approval, processing and disbursal. Kuwy’s Loan Decision Engine provides guidance to underwrite a Used Car Transaction within minutes. Loan Documents, Borrower, References, Seller, Vehicle, Bank Statement, Home & Office FI are digitally verified. This helps in instantly solving all issues around Loan Sanction, RCU, Contracting, Delivery Order, Loan Disbursement and PDD. So, all you need to do is download the Kuwy app and upload the documents. Rest is all taken care of!

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