In an event in New Delhi, Fintech startup MoneyTap has launched the India’s first App-Based Credit Line in India for consumers. The app is launched in partnership with banks like RBL and MoneyTap enables consumers to get instant credit from partner banks by just using the app. Earlier, the Credit Line is only available for businesses only, but from today it is available for consumers too.
Commenting on the launch, Harjeet Toor, Head – Cards, Retail & MSME Loans and Financial Inclusion, RBL Bank
“We are delighted to partner with MoneyTap to launch India’s first app based Credit link. We have integrated MoneyTap’s technological innovation with our own banking system to provide a never-before 247 experience for users without compromising on security and compliance issues. With this cutting-edge technology, we aim to offer many more personalised services to our customers.”
Baba Parthasarathy, CEO & Co-Founder, MoneyTap, said:
“Growing up in India in the Eighties and Nineties, and coming from middle-income group families, we have all faced shortage of additional funds at some point. At MoneyTap, we are on a mission to change this and make credit accessible to those who deserve it. The ubiquitous presence of smartphones and initiatives such as Aadhaar has made it possible for us to develop a truly powerful and disruptive financial instrument. The credit link for consumers with accessibility through an app is a new concept in India and we are excited about the opportunities it can bring to thousands of millions of Indians. We are extremely thankful to RBL to have trusted us and delighted that they are equally passionate about solving the existing problem of easy and quick access to credit.”
The Credit Line means that, the bank will issue a limit of up to Rs. 5 Lakhs without any collateral or charging any interest. With MoneyTap app, consumer can borrow any amount which range from Rs. 3,000 to Rs. 5 Lakhs and you can repay it as EMI from 2 months to 3 years. The good thing about this app is that, you have to pay the internet for the amount borrowed not on the entire amount. Above all, the interest rate are low as 1.25% per month and the limit also gets replenished as soon EMIs are paid back.
As of now, the app is only for salaried person and later on the app will be available for non-salaried person too. The app is available for download on Google Play Store and the it can be downloaded by all salaried persons living in Delhi NCR, Mumbai, Bangalore, Hyderabad & Chennai. In coming months, the company is planning to expand in other cities.
The MoneyTap app uses a patent-pending Chatbot interface and it asks for the information which are typically required by the banks. After getting information, the app securely connects with the banking system and it provides information about your instant approval & also the credit limit. The credit limit depends on your credit history. If all the detailed are verified then you qualify for it, you have to pay one-time Line setup fee of Rs. 499 + tax in their first month bill from RBL Bank. This also includes the cost of issuing the limit for the customer, a Free MoneyTap RBL MasterCard and slew of other benefits. There are no hidden fees or charges & everytime the customer chooses to take an EMI, they will be shown the interest & any other applicable charges.