Money tap is an app-based credit line facility for consumers
MoneyTap is anan app-based credit line facility for consumers, founded in September 2016 by entrepreneurs Bala Parthasarathy, Anuj Kacker and Kunal Varma. The startup will provide instant loans to salaried individuals, self-employed professionals in India.
The users can borrow from INR 3000 to INR 5 lakh. It charges 1.25 -1.5% interest rate per month on the credit used and a setup fee of INR 499 (charged by the bank). The company also offers a credit card with the approved credit line.
The funds raised will be used to enhance technology, especially to incorporate India Stack features such as the unified payments interface and e-sign, and to expand to 50 cities from the current count of 14 by the end of this year.
The startup is also working towards achieving the target of issuing credit worth Rs 300 crores by the end of the current fiscal. Currently, it has only announced partnership with RBL Bank.
Parthasarathy, co-founder and CEO of MoneyTap, said..
“We are uniquely placed wherein we sit on top of banks and NBFCs. After downloading our app a consumer can within five minutes know if they are eligible for borrowing credit. They can then complete the KYC formalities on their phone and can borrow any amount under the limit they are eligible for.”
Abheek Anand, principal at Sequoia India, said…
“Consumer credit in India is highly under penetrated and is a complex problem to solve. MoneyTap combines an experienced team with a thoughtfully designed product, and their strong early traction is a testament to the efficacy of their approach to addressing this massive market opportunity.”
The company claims to have got over 300,000 app downloads since the launch, and average credit line issued by the app is INR 80,000.