The gold loan company Muthoot Finance Ltd has introduced multiple cashless ways for customers to take and repay loans, as well as pay interest on existing loans.

For disbursement of loans, the company is encouraging online gold loans, direct credit to the customer’s bank account or by loading the loan amount on a pre-paid VISA card.

For repayment of loans, the company is accepting payments through its online web-platform (Webpay), Mobile Application (iMuthoot) or through RTGS/NEFT/IMPS facility. The company is also accepting cheques and demand drafts.

The company is committed to adopting technology for the benefit of its customers who can now pay their interest and principal dues online anywhere-anytime at their convenience without visiting the branch, George Alexander Muthoot, Managing Director, said.

The demonetisation initiative, he said, would immensely benefit organised players in the sector. The unorganised players, however, would be impacted as they do not have these online transaction facilities.

“As our average ticket size of loans is ₹40,000, almost 70 per cent of transactions were done through cash. However, post-demonetisation we have seen a 550 per cent increase in loan disbursements through digital channels and, today, 60 per cent of the disbursements and repayments take place through these digital channels”, he added.

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