Nbfc

Hi Friends, We are three founders launched android app for personal loan last month. To start we have tied up with a small listed NBFC for a 2cr program we have disbursed 40L started 1-Aug-24. 2cr is the max limit from this Lender. We are looking for new NBFC/Lender who can help us scale our book. DM for more details. Thanks!

- Bernstein suggests that a partnership with a bank or NBFC could help Paytm leverage its customer base for cross-selling non-bank products. - A significant investment from a major corporate house could enable Paytm to revive its business faster and avoid future regulatory shocks. - Bernstein projects that Paytm, in its current form, is well-poised to achieve profitability by FY27. - The brokerage firm believes that rapidly scaling up secured lending and getting a share of the merchant discount rate on UPI payments could drive profitability faster by FY26. - Paytm's losses have soared due to the RBI barring its payments bank arm from business activities and the government's reduced budgetary allocation for digital payments. Source: [Inc42](https://inc42.com/buzz/acquisition-by-bank-or-nbfc-best-scenario-for-paytm-bernstein/)

- Jai Kisan has acquired an NBFC license through its strategic acquisition of Kushal Finnovation Capital Private Limited. - The license will enable Jai Kisan to design and distribute more customized credit products to farmers and business customers. - The firm plans to co-lend with leading financial institutions, including public sector banks in India. - Founded in 2017, Jai Kisan offers credit for rural commerce transactions and partners with various stakeholders in the agriculture value chain. - Jai Kisan has facilitated disbursals of over Rs 6,000 crore since inception, with Rs 3,000 crore in FY24 alone. Source: [Entrackr](https://entrackr.com/2024/08/jai-kisan-acquires-majority-stake-in-kushal-finnovation-gets-nbfc-license/)

- Adani One, the super app of Adani Group, has started pilots with digital lending firms and non-banking financial companies (NBFCs) to offer loans on its platform. - The app, housed under Adani Enterprise Limited’s digital arm, Adani Digital Labs, has partnered with KrazyBee Services, the NBFC arm of fintech firm KreditBee, to provide personal loans. - Adani Digital will act as a lending service provider (LSP), with personal loans ranging from Rs 1,000 to Rs 5 lakh being extended from KrazyBee’s books. - The company is also exploring mid-sized deals in the fintech space to enhance the app’s digital presence and expand its user base. - More tie-ups with other NBFCs and fintech players are underway to offer a broader range of credit products to customers. Source: Moneycontrol

Every Fintech nowadays is running to get a NBFC licence to provide service like loan & insurance isn't the market already getting cluttered & They are just focusing on increasing their loan book & with huge default isn't that gonna impact the whole ecosystem? Has RBI turned a blind eye just because these fintech now have NBFC licence

Link: https://boringmoney.in/p/rbi-wants-banks-to-ditch-some-funds Summary: 1. RBI released a circular towards the end of last month which prohibited banks, NBFCs and other financial institutions from lending to companies that have received investments from funds where the banks are themselves investors. 2. The reason for this is that RBI feels "evergreening" of loans is a big problem. A borrower is unable to repay their loan, but instead of the bank recognising the loan as a bad loan, the bank (or NBFC, etc) indirectly gives them money via an alternative investment fund (AIF). 3. On the face of it, RBI disallowing banks from making these investments is a good measure. But once you scratch the surface there are a lot of problems. 4. For instance, the lending and the investing arm of a bank are supposed to be separated out. How would the investing arm know about the decisions of the lending arm? 5. Another problem is that AIFs which have bank investors will be wary about investing in companies that have borrowed from their bank investors. This is bad! It will stop them from making the best decisions for their investors.

currently working at a traditional nbfc (brick and mortar branch led operations, mainly focusing on study abroad loans), I've been part of the skilling/domestic education loans team. a new business unit within the org since 1.5 yrs, as the only pm, have managed to build digital product with a robust portfolio on a lower base tho. my orgs is super stable but very slow when it comes to focusing on this new business unit. my learning curve has gone for a toss, hence im looking for a change. I've done product/founder's office roles in past within the fintech eco-system. looking back to joining a company where things atleast move. im open to product/founders office roles. please do share openings within your networks. thanks.

- So after raising millions of dollars for "innovating in fintech", CRED has decided to get into the centuries old business of lending - The main company has burnt investor money mainly to build out distribution but no product. - Now when they decided to get into lending, Kunal Shah acquired an NBFC where he personally owns approx 80% stake and CRED owns 20% - Through this NBFC, CRED gives out their loans on BNPL products. Now Kunal Shah wants to slowly sell the rest of his stake to the main company CRED - Except the NBFC is worthless without CRED's distribution. And CRED is worth a lot less without any product and Kunal Shah holds only 12% equity in the main cash-burning loss-making company after all those dilutions in funding rounds. - By making CRED acquire this NBFC at inflated valuations where he owns majority stake, he's gonna personally cash out once again while CRED will still have a long journey ahead of them. How are the CRED investors ok with this?

A lot of you might have seen the HDFC bank video where a senior executive got batshit crazy at his juniors and was yelling at them. This is my story of a a similar experience in a well funded NBFC. Hint: Aye Aye So, i joined this NBFC startup with a cushy package, let's say 35 lpa in 2021, to transform the corporate. Joined in a leadership role but the reality hit too soon. The work environment was too toxic. People didn't know how to behave, the leaders are monsters and there were no weekends for straight 4 months. I started yelling at everyone around me and i was stressed 24/7. One fine day, i went straight with a fuck you and resigned from the job, took a pay cut and rejoined corporate. I joined there from an MNC. Life is smooth now. Remember, if your think Banking sector is bad, NBFCs are worse and the startup players are a notch below. Pay cuts are bad, it took me two years to get back to market. However at all of our lives, it is very important not to promote this shitty culture.