The Business Bytes
TBB BUREAU
BHUBANESWAR, FEB 10, 2023
L&T Financial Services (LTFS), one of the leading Non-Banking Financial Companies (NBFCs), has recorded a strong growth in Insta Loan disbursements. The growth is in line with the Company’s journey towards becoming a customer-focused, retail finance companyas envisaged in its strategic plan Lakshya 2026.
Since its inception in September 2022, Insta Loan disbursements have recorded a robust growth, reaching Rs. 91.4 crore at the end of January 2023 as compared to Rs. 22 croreat the end of October 2022.
Loans in this category are processed within 7 minutes of application by the customer, thereby providing superior Turn Around Time (TAT), ease, and comfort – a customer value proposition for the product. This is a completely paperlessloan process with instant eligibility checks. Customers can availloans ranging between Rs. 50,000 to Rs. 7,00,000 with arepayment tenure of 12 months to 48 months.
Dinanath Dubhashi, Managing Director & Chief Executive Officer, L&T Finance Holdings Ltd. said, “At LTFS, we are expanding our retail portfolio with an increased focus on customer needs, best-in-class products, and the use of digital and data analytics for improved turnaround time and servicing for customers.It is evident from our last quarter financial results that we are moving in the right direction to achieve our Lakshya 2026 goals.Insta Loans has one of the lowest TAT in the industry and customers have appreciated the efficiency of this product as is evident from the growing numberof customers each passing month.More than 50 percent of the loans have been disbursed to people in the age bracket of 25-35 years andunlike other financial institutions, we offer these loans even to new to LTFS customers in the same TAT.”
The Consumer Loans business is the first digitally native business of the Company and continues to scale up with disbursements reaching Rs. 1,228 crore in the third quarter ended December 31, 2022 compared with Rs. 650 crore in the same quarter, a year ago. In addition, the Consumer Loans business has partnered with over 70 fintech players, thus offering customers a seamless journey.
In line with accelerated retailisation, the Company had recorded the highest-ever quarterly retail disbursements of Rs. 11,607 crore in the third quarter ended December 31, 2022.This has resulted in the retail portfolio mix at 64 percent of the total loan book of the company.
