By Editor September 12, 2019
Almost everyone is aware of the Fintech term presently. If you are not aware of it, do not worry. I will quickly take you through that. It’s “Financial Technology”. Fintech is a new way of providing financial services through technology. It completely enhances the traditional financial services. Fintech is a growing industry nowadays.
The loan industry has been noticeably affected by Fintech advancements. Many companies have already started taking advantage of high-quality lending services at a considerably lower rate of interest.
There is one more term called “Digital lending”. Digital lending is a way of originating loans using online technology in order to deliver faster and efficient decisions. Digital lending offers financial institutes different benefits like improved productivity, revenue growth, more loan closing. Also, it improves the customer service experience entirely by speeding up the process and increasing transparency. As per the recent survey by the ABA indicates that digital lending could reach 10% of all consumer and small business lending by 2020.
The loan industry has been noticeably affected by Fintech advancements. Many companies have already started taking advantage of high-quality lending services at a considerably lower rate of interest. Fintech companies are changing the loan process in exiting ways such as underwriting process, loan applications assessment, customer engagement, and profit generation.
Some Indian fintech companies such as Lendingkart, capital floats, KreadX provide loans for working capital needs of SME. Fintech has made life easier as people don’t have to go to a bank or any financial institutes to get a loan. They can simply get it from these fintech companies with many advantages like paperless work, faster loan approval, automating underwriting process, security, etc.
In conclusion, As the Fintech has been taking over the finance sector like a storm, it seems that it’s progress is not going to slow down. However, there can be a challenge for the fintech to continue the revolutionize the lending process in a way that can make the loans even more affordable and accessible to wider range of people. Are you interested in the Fintech application? Let us know!