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MUMBAI: Private sector lender Federal Bank on Tuesday said it has launched an online lending platform federalinstaloans.com to facilitate quick and hassle-free credit approvals for micro, small and medium enterprises (MSMEs) across India.
The platform, the bank said, enables MSME borrowers to avail loans in less than 30 minutes digitally, by uploading their income tax returns, bank account statement and online verification of goods and services tax (GST) details. Eligible borrowers can avail up to ₹50 lakh through the platform at present.
“The platform uses sophisticated algorithms to read and analyse data points from various sources such as IT returns, GST data, bank statements, credit bureau, all in less than 30 minutes capturing the borrower’s basic details using smart analytics," it said.
The bank added that clients can avail of business loan approvals from the comfort of their home without visiting the bank’s branches. Data entry by the client is kept minimal, as majority of the details are auto populated from the uploaded documents like GST, ITR and bank account statements, it said.
“After a suitable product is identified for the borrower in the platform, in-principle offer letter will be issued. Loan will be made available after the documentation process gets completed. For completing the documentation, borrower needs to visit the bank branch. Borrower also has the liberty to choose his Federal Bank branch while applying for the loan approval," it added.
