SBM Bank India partners fintech startup Lendingkart

MUMBAI: SBM Bank India on Thursday said it has partnered Lendingkart, a fintech start-up in the working capital space, and launched a customised overdraft facility for over 1 lakh customers of the fintech.

Sidharth Rath, managing director and chief executive of SBM Bank India, said, in the current ecosystem for this customer segment across the nation, overdraft facilities offered by most lenders require borrowers to furnish collaterals such as property, fixed deposit and business inventories, which most small businesses are not unable to provide.

“Our collaboration is aimed at solving such challenges through technology, efficiency and customised solutions,” said Rath.

A statement said, financial companies, traditionally, have extended term loans with fixed tenors to serve their customers, with overdraft products an exclusive domain for banks.

“With this collaboration, the Indian MSMEs being catered by Lendingkart, can avail the unique overdraft facility powered by SBM Bank India on Lendingkart platform. This flexible credit line is available for all customers sourced through digital channels and offers features such as on-demand disbursement, zero physical paperwork and ready account statements creating superlative customer experience,” it said.

Harshvardhan Lunia, founder and managing director of Lendingkart, said, the team has invested resources in ensuring that they offer the right credit product, especially in the new normal and liaise with the right financial partner that shares its passion and disruptive innovative approach for supporting the backbone of Indian economy.

“We look forward to collaborating for more opportunities for working together on newer credit facilities being offered and utilising Lendingkart’s platform and on ground strengths to achieve the common goal,” said Lunia.

Lendingkart has provided credit facilities of over Rs7,000 crore to micro, small and medium enterprises since its inception.