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GigglyNarwhal
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Save Now, Pay Later: How Multipl, Tortoise make money?

I came across Multipl app wherein you can have SIPs for a goal like buying a phone or trip expenses. Brands like Flipkart, MMT, Reliance Digital, Nykaa, Croma also co-invest in the SIPs and their contri can be cashed out as gift cards.

Now here are a few concerns I have:

  1. Mostly these FinTechs take 0% commission on the SIPs. So how do they even earn money?
  2. In the end, its just investing your money in a MF, which is prone to market risks, why would a person lock in his money for 6 months with the potential of making a loss. I would prefer using my good old cash or credit card to make a payment.

The business model just didn't make sense to me. Any insight from FinBros, Product guys would be welcome.

19mo ago
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BouncyBoba
BouncyBoba
CricPe19mo

Save Now Pay Later is another crap that is being peddled. There is natural demand for lending given borrowing helps to prepone your purchases. There is zero demand for save now pay later shit. Why would someone save on your platform? He/she can invest in better instruments via groww, indmoney etc. Save Now Pay Later as a sector has been force fitted as an alternative to BNPL while fundamental thinking around this has been completely missing.

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