P2P lending platform Faircent becomes the first to receive NBFC-P2P certification from RBI
The platform currently has more than 40,000 registered lenders and 3.5 lakh registered borrowers, and has facilitated over 6,000 loans cumulatively till date.
“As the largest P2P lending platform in the country and a pioneering presence in the domain, Faircent has played a pivotal role in helping the Indian online P2P lending sector gain regulatory recognition. To be the first player in the sector to receive an NBFC-P2P certification from the RBI is a very significant milestone for us at Faircent.com. This development further bolsters our resolve to take financial inclusion to every last Indian through technology and to address the country’s credit deficit with our innovative tech-led offerings," said Faircent, cofounder and CEO, Rajat Gandhi said in a statement issued to the media.
The Gurgaon-based company has worked towards driving P2P lending as an alternative investment asset class amongst borrowers. The platform currently has more than 40,000 registered lenders and 3.5 lakh registered borrowers, and has facilitated over 6,000 loans cumulatively till date.
“Our effort, from the very beginning, has been to create a robust tech platform which facilitates seamless flow of credit across India by connecting borrowers directly with individuals holding surplus funds. We have also helped in creating an extremely lucrative, high-value alternative asset class for investors in India in the form of P2P lending. The RBI certification is a regulatory validation of our business model and tech-led approach, and adds immense credibility to our operations," Faircent, cofounder and COO, Vinay Mathews said in the same statement.
Projected to be worth $4-5 billion by 2023, the P2P lending segment has completely disrupted the consumer lending and asset class categories in India. Its recent inclusion into the larger regulatory ambit has put the sector on an exponential growth trajectory of late. The growing proliferation of digital transactions, recent fintech innovations, and increasing demand for affordable credit has already been driving the growth of P2P lending platforms in India. Given such positive market sentiment around P2P lending, Faircent hopes that the certification will help it gain more traction in the mainstream financial market and strengthen confidence amongst borrowers and investors alike.