The company plans to deploy the raised funds towards enhancing its technology and strengthening its team.
Launched in 2015 by Rohan Hazrati, Rupaiya Exchange is a peer-to-peer lending platform that facilitates easy capital acquisition for borrowers and better investment opportunities to lenders across the nation. It serves as a marketplace for a wide range of P2P lending activity including consumer-to-consumer loans, business-to-consumer loans, and business-to-business loans. The service portfolio of the company includes short-term as well as long-term loan instruments which can be either be secured or collateral-free, as per the user requirement.
Rohan Hazrati, founder, Rupaiya Exchange said, “We assess all borrowers and determine the social, behavioural, and financial scores of the individuals. Based on this an overall credit rating is assigned to the borrowers. Also, before a loan is funded a physical verification is done. Our credit typically rejects more than 85% of the applications and only very selected loans move towards listing.”
As per an official statement, the startup has facilitated loan originations worth $10 Mn (INR 70 Cr) and disbursements in excess of $1 Mn (INR 8 Cr) since its launch.
Earlier this year, the Reserve Bank of India (RBI) proposed that P2P lending platforms will register as non-banking finance companies (NBFCs). The proposal came in order to regulate the lending platforms and bring them under the regulatory purview of the central bank.
Earlier in April 2016, peer-to-peer lending platform LenDenClub raised an undisclosed amount of angel investment through Venture Catalysts. In February 2016, Bengaluru-based peer to peer lending marketplace startup, Loanzen, raised an undisclosed amount of Seed funding from Tracxn Labs and angel investors, through Tracxn Syndicate. In October 2016, Mumbai-based fintech startup CreditMate raised $500K from VC fund India Quotient.