The partnership marks entry of L&T Finance Ltd. into the co-lending space
Kunal Shah, founder, CRED
FinTech BizNews Service
Mumbai, August 20, 2024: L&T Finance Ltd., (LTF), one of the leading Non-Banking Financial Companies (NBFCs) in the country, has announced a partnership with CRED, the most rewarding payments platform for the affluent, to offer unsecured personal loans to CRED members.
CRED’s affluent and creditworthy member community will have fast, flexible, and seamless access to credit through the CRED Cash product. LTF will offer this along with its co-lending partner Newtap Finance Private Ltd. (NewTap), an NBFC. CRED members can avail credit in a couple of minutes, with flexible repayment tenure and competitive interest rates.
Commenting on the partnership, Mr. Sudipta Roy, Managing Director & CEO, L&T Finance Ltd., said, "We are excited to announce our partnership with CRED. The association marks LTF’s entry into the co-lending space which will leverage the strength of LTF’s extensive experience in the financial services sector, CRED's large affluent customer base and strong reputation for creditworthiness, and NewTap's expertise in digital lending and risk assessment. We believe that this partnership will further enhance our presence in the digital lending space with focus on customer experience and provide CRED’s customers with loans in a couple of minutes with flexible repayment tenures, at competitive interest rates, thereby offering customers a unique and seamless borrowing experience.”
Kunal Shah, founder, CRED, said, “This partnership is an opportunity to empower our members—those with high credit scores, impeccable repayment histories, and affluence—with credit from one of the nation's most reputable lenders. It isn't just about providing credit; it’s about fostering a cycle of financial virtue, where high-quality institutions meet high-quality customers, driving progress for both the community and the industry."
LTF’s customer-focused approach and partnership with new qualified customer acquisition channels have driven the growth of its Personal Loans business. Its book size grew a notable 11% year-on-year to Rs 6,667 Crore during Q1FY25, while disbursements for the quarter reached Rs. 1,178 Crore. LTF's Personal Loans business is expected to continue growing, fuelled by various factors such as strategic partnerships and collaborations, expansion into new geographies, and customer retention, among others.
