Fintechs must build collection muscle to scale lending business: Cred founder Kunal Shah

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Cred founder Kunal Shah said fintech startups focusing on small-ticket lending must invest in collection capabilities to ensure repayments from defaulters and build sustainable businesses.

Speaking at the Bharat Inclusion Summit hosted by IIMA Ventures, Shah said many companies had misdiagnosed the problem. “When it comes to mass-market lending, the issue is not demand but collections. If you’re offering loans to people below a certain income level, there’s unlimited potential to disburse. But the real challenge lies in getting the money…



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Fintechs must build collection muscle to scale lending business: Cred founder Kunal Shah


Cred founder Kunal Shah said fintech startups focusing on small-ticket lending must invest in collection capabilities to ensure repayments from defaulters and build sustainable businesses.

Speaking at the Bharat Inclusion Summit hosted by IIMA Ventures, Shah said many companies had misdiagnosed the problem. “When it comes to mass-market lending, the issue is not demand but collections. If you’re offering loans to people below a certain income level, there’s unlimited potential to disburse. But the real challenge lies in getting the money…



Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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