Gurugram-based P2P lending platform Faircent has received its NBFC-P2P certification from the Reserve Bank of India (RBI). The accreditation makes Faircent the first P2P lending platform in the country to receive the certificate of registration as an NBFC-P2P by the national regulator.
On the certification, Rajat Gandhi, Co-founder and CEO of Faircent, said in a statement, “As the largest P2P lending platform in the country and a pioneering presence in the domain, Faircent.com 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.”
The platform currently has over 40,000 registered lenders and 3.5 lakh registered borrowers, and has facilitated over 6,000 loans cumulatively till date.
Vinay Mathews, Co-founder and COO, Faircent, added, “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.
Projected to be worth $4 billion-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 increase in number 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, the certification from the RBI will help Faircent gain more traction in the mainstream financial market and strengthen confidence amongst borrowers and investors alike.