With a focus on under-banked and thin-file consumers, LoanAdda is a financial technology company that delivers a range of customized financial services. Founded in September 2015, by Anshuman Mishra, LoanAdda is based out of Noida currently. LoanAdda handholds the customer from doorstep document pickup to getting his credit score for free to finding the ideal financial institution to lend from.
Anshuman brings to LoanAdda over 15 years of experience in varied sectors ranging from Banking, Consulting, Retail and Venture Capital. He has a Post Graduate Management Degree from INSEAD, Paris and IIFT, Delhi. Anshuman started his banking career with ICICI where he created structured securitization products like LAP, Gold Loans etc. He was most recently spearheading one of India’s first SEBI registered Social Venture Capital Fund. He has diverse experience in roles ranging from Analyst in Intangible Asset Valuation at Deloitte to Chief Financial Officer at ColorPlus and EPIC Group, HK. He is also an Independent director in Hindware Retail Pvt Ltd.
LoanAdda has a proprietary algorithm, which is fed the lenders’ parameters on daily basis and once the borrower’s details are fed into it, the system quickly shortlists the banks and NBFCs which would be most suitable based on the customer’s requirements. In addition to this, the software also ranks the banks on the ease of doing the loan based on the previous data. Anshuman tells knowstartup:
“LoanAdda wants to improve financial inclusion in India and is the largest online loan aggregator portal in India covering the complete spectrum from lead origination to disbursal in the impact lending space. The main USP of LoanAdda is technology. Our proprietary algorithm is far above anything in the Indian market. It is able to match a borrower with the right lender with an accuracy of around 85%. It is also able to generate its own score to check the credibility of the borrower.”
The venture is currently a 27 member strong team. The core team of LoanAdds apart from Anshuman comprises of:
Aishwarya S who looks after the online and offline marketing. She is a passout from NIFT and has worked at Fab India prior to this.
Rupali Arora who heads the sales team, she is a veteran in the banking industry and has worked with Citi Bank for over 8 years.
Mridul Kabra spearheads innovation at LoadAdda. He is a IIT-D graduate.
Nikhil Yadav looks at the development side and is the one who has created the algorithm.
Nikhil tells Knowstartup:
“We use big data analytics and artificial intelligence to bring relevant offers to customers. These automated processes ensure quick customer turnaround and minimal paperwork.”
LoadAdda works on the principle of Financial Inculsion, while the lending sector in the Subcontinent was formerly based on financial exclusion criteria, wherein small businesses and people with limited KYC or no past track record of loans, no income tax returns were not eligible for formal banking sector loans. To bridge this gap and further upgrade the financial inclusion system, LoanAdda was created to guarantee loans by simplifying the process of loan origination and fulfillment.
LoanAdda’s services include retail loans and products that range from – Home loan, Loan against Property, Working Capital loans and Credit Cards. And this big pool of features are free of cost to the consumer. The company follows a commission-based business model, which involves charging a nominal percentage from banks for each loan disbursed through its platform.
“Although the company is bootstrapped, it has surpassed the growth of fund-backed competitor and are planning to raise capital and business funding soon. Its strategy is to maximize reach towards 2, 3, and 4-Tier cities by the next couple of years.”
The venture has already launched its Android and iOS app for mobile devices and is ranked number 1 on Google PlayStore and iOS App store in all the categories like “home loan” “loan against property”. Till date LoanAdda has processed over 60,000 applications. It has also been able to forge partnerships with over 40 banks and NBFCs to become their registered lenders. With current presence in over 100 cities, LoadAdda plans to expand deeper into the Indian Markets and cover 250 more cities in next 12 months. Apart from that they are also targeting countries in South-Asia with similar economies.