NEW DELHI, Oct. 25, 2019 /PRNewswire/ — 360 Finance announces that the number of people using its LendingAdda, a complimentary credit report, has exceeded 700,000 in India.
LendingAdda was the second digital finance platform in India to provide complimentary credit reports. Staff in charge of this business at LendingAdda said, “The launch of complimentary credit reporting system will help the public make a better assessment of their borrowing capacity and enjoy better financial services, and this is why LendingAdda has been able to attract hundreds of thousands users in just a few days.”
Research shows that nearly 80 percent of India’s population does not have a credit record, and as a result they don’t have access to a full range of financial services. In India, because of various processes and regulations, credit has never been readily accessible to the masses.
Business and retail consumers suffer due to this regulatory bottleneck.
Traditional data currently used by financial institutions has very limited information about the identity, character and capacity to pay for most of the Indian population. As a result, many financial institutions are unable to resolve the information asymmetry they face and refuse to provide the necessary credit.
However, India’s emerging middle class is now digitally connected and actively use smartphones, the internet and social networking platforms.
Non-traditional data-based credit scores aim to fill this gap and benefit borrowers and financial institutions in India by measuring the borrower’s character and willingness to pay back loans using data emanating from natural digital behaviors.
Driven by AI and cutting-edge technology, LendingAdda can better analyze people’s digital footprints and issue credit reports in just a few minutes. The whole process is faster than banks, and the reports are recognized by all financial institutions.
Leveraging technology, LendingAdda is able to design risk strategies and innovative financial products that are profitable and provide financial access to hundreds of thousands of people. As a result, the number of users is growing rapidly.
“The Indian economy is expected to be the world’s second largest by 2040, and financial inclusion will play a crucial role in attaining this growth”, added the staff member at LendingAdda. “LendingAdda is expected to contribute to the next phase of growth for India’s financial service industry by supporting digitization of credit checks to enable faster, cheaper and informed decision making.”