Delhi-based online lending startup StashFin has partnered with non-banking finance company DMI Finance to raise $4.3 Mn (INR 30 Cr) for onward lending through its online platform.
According to reports, the company aims to augment its portfolio to meet the growing needs of its customers.
Tushar Aggarwal, founder StashFin said, “We aim to fuel the aspirations of our customers through easy and seamless credit-lending, digital model. In a short span, we have to increase our customer base several folds. Our partnership with DMI Finance will further help us to accelerate our growth and increase our imprint across India. We look forward to creating a differentiated value proposition for our borrowers.”
Stashfin is the parent company of digital lending platform, StashEasy. It was founded in February 2016 by Tushar Aggarwal and provides online lending options to salaried individuals.
The platform offers a line of credit of up to INR 3 Lakh with repayment periods from three to 24 months. The loan disbursal time for a new customer is four hours and for a repeat customer is 40 minutes.
The founder further claims to use state-of-the-art technology and an effective analytics model to ensure that loans given are of high quality. StashFin also has an NBFC License from RBI.
Earlier, in June 2017, StashFin raised $5 Mn Pre-Series A funding from Snow Leopard Ventures and Singapore-based Alto Partners.
After the boom in the online SME lending, digital lending marketplaces have now started tapping the niche category of salaried individuals and are catering to their low-value and short duration loan demands.
In the past few years, we have seen a number of startups marking their foray into this space including Kissht, LoanTap, MoneyTap, Paysense, i2ifunding, OptaCredit, PayMe-India, FlexSalary, EarlySalary, Lenden Club, among others.
The prominent investors investing in this space are Sabre Partners, Puneet Dalmia, Snow Leopard Ventures, Eight Roads Ventures India, IDG Ventures India, among others.
As Arindam Das, CEO, DMI Finance said, “Rising first-time borrowers and increasing credit penetration in underserved customer segments combined with the government’s thrust for financial inclusion has resulted in a rapidly-increasing demand for capital by Indian households. This partnership with StashFin is in keeping with DMI’s objective of being a flexible, innovative and impactful lender in the area of personal loans.”
He also added that DMI’s technology-driven underwriting and strong balance sheet will complement StashFin, being a new age fintech company using data stacks with strong technology understanding.