New Delhi [India], Oct. 18 (ANI): After a successful growth stint in the past six months, LenDenClub, a P2P lending platform is looking to meet the capital requirement set by the Reserve Bank of India (RBI) regulations, banking on the newly secured capital which is being used to enhance the product platform and improve tech automation.
Earlier this month, the firm closed a USD 500,000 pre-series A round from a fund based out of Mumbai. LenDenCLub's previous round was funded by Venture Catalysts and led by Artha India Ventures founded by Anirudh Damani.
LenDenClub has already arranged and completed loan transactions worth Rs. 17 Crore on their platform with an average return rate of 25 percent. Its automated and transparent functionality connects lenders looking for high returns with creditworthy borrowers looking for personal loans up-to 24 months.
With an 18-hour approval upon request and three-day disbursement time, it has one of the fastest loan processing procedures. Lenders too, benefit from high returns within a short span of time.
"We have the unique capability to assess borrowers who may or may not have a digital footprint and social media presence. After seeing the rapid growth and adoption of our platform in last two to three quarters by borrowers and lenders alike, we have set ambitious targets for disbursals in the coming months. This investment will help us achieve those goals and further enhance our platform," said Bhavin Patel, Founder and Chief Executive Officer of LenDenClub.
While discussing the investment with the previous lead Artha India Ventures, the Managing Partner said, "We have always been interested in the fast growing segments of scalable business models. The P2P lending model in India not only presents a great opportunity, but will also facilitate access to capital and financial inclusion for segments of our population, which fall outside of the purview of the traditional BFSI segment. This is an exciting space, and we want to be there with LenDenClub while P2P Lending grows in India."
LenDenClub is the preferred peer to peer lending platform due to its stringent verification process, minimal default rate, flexible loan duration, rate of interest, fast and hassle free loan approval and disbursement, high level of user security and lender protection measures. Currently they have over 8000 borrowers from Mumbai and Pune and 2800 lenders from all over India including NRIs.
Going forward they are looking to grow the number of users on their platform and ensure superior lender protection through stringent credit check procedures. They continue to seek fresh growth capital to scale geographic expansion. (ANI)