Muthoot Finance adds personal loans in lending business

It is aiming on delivering faster and efficient service to the customers with simple documentation and appraisal process. Any salaried individual with stable employment and a monthly salary of Rs 20,000 or more in metro locations and Rs 10,000 or more in other towns can apply for a personal loan with MFL. The rate of interest is from 14% onwards. 

George M Alexander, ED, Muthoot Finance Ltd said, “The disbursement of personal loan has witnessed consistent growth in India for the last 15 years. Also, the advent of credit bureaus has made personal loans more accessible to salaried class as financial institutions are willing to lend more based on individuals past credit behaviour.” 

He added, “We will be able to leverage our existing customer base through our branches and our direct sales team thereby reaching to more and more customers. At a time when most of the lenders focus on financing individuals employed with large and established corporates, state and central government employees etc, Muthoot Finance will focus equally on salaried individuals employed with SMEs as well as with bigger corporates. We will also lend personal loans to first time borrowers who meet our underwriting norms.” 

In the current FY19, the company aims to offer the personal loan product in over 20 cities of South. The company aims to build a portfolio of Rs. 3,000 crore over next five years by 2023. Prospective customers will be able to apply for personal loans by visiting the nearest branch of Muthoot Finance Ltd.