With the aim to streamline and offer paperless process to retail customers who are seeking loan, Bank of Baroda has launched an digital landing platform.
Under this platform, a pre-approved micro personal loan will be offered to selected customers. They can shop anything through offline/online partner channels and pay later in EMIs. Customers can also avail the amount into their savings bank account and convert it into EMIs from 3 to 18 months through bank’s mobile banking app.
“Bank has attempted to digitise itself internally by building a high-performing, innovative environment, which has allowed it to reduce time-to-market for their products. The bank envisages outpacing the banking industry growth by 1.50 times at CAGR of 16% over the next 5 years by adopting a digital-first lending approach across retail, MSME and agriculture segments,” said Vikramaditya Singh Khichi, Executive Director.
The ‘digital lending’ platform also provides ‘in-principle approval’ for home loans, car loans and personal loans without human intervention. The digital loan process is done from the various sources of the loan applicant’s financial profile and the applicant get ‘in-principle approval’ in 4 simple steps.
The prospective applicants can avail the facility through multiple channels – website, mobile banking, internet banking and social media as well, said the bank.
The bank will offer ‘online loan against fixed deposits’ through ‘digital lending’ platform, which enables the fixed deposit customers to avail loans against their online FD instantly through mobile banking and net-banking facility.
With the launch of ‘digital lending’ platform, the bank believes that personal loan disbursements will be completely digitised first, followed by MSME and agriculture disbursements. As such, the bank envisages that the digital share of disbursement in retail lending will grow to 74% over 5 years.
Ramjass Yadav, Chief General Manager, Bank of Baroda said, “We endeavour to accelerate our digital journey and continue to invest and innovate to transform the bank into a completely digitised organisation. ‘Digital lending’ platform will help the bank to double the non-corporate book by 2025.”