Customers can apply and get approval online

Bajaj Finserve Lending (BFL), which launched an online personal loan service for salaried professionals last week, is expecting to garner business of Rs 500-550 crore in the first year of operations, an official said here on Friday.

The first to come out with such a service in India, BFL offers online personal loans of between Rs 1 lakh and Rs 15 lakh.

“With this new facility, loans will be approved within five minutes of the application and disbursed within 72 hours if all verifications are in order,” Ashish Panchal, Business Head, Salaried Loans, said. All that the customer has to do after submitting the online application is to keep ready three photocopies of his/her salary slips, the KYC document, and proofs of identity, address and employment.

Completely automated

The service is completely automated, allowing the customer to apply for a personal loan online and get approval almost instantly without the hassle of contacting the company representative for any action, he said.

For this facility, BFL will charge Rs 999 as commitment fee, and 15.5-17 per cent interest depending on the customer’s profile.

BFL has already received about 300 applications within a week of the launch.

Currently, BFL has a 10 per cent share of the personal loan market, which is growing at 20 per cent.

India’s market for personal loans is about Rs 1,00,000 crore, including loan against gold and credit cards.

In the case of salaried persons, the personal loan market is Rs 27,000 crore, which is expected to double in five years.

(This article was published on September 2, 2012)
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