Pune, May 30, 2024: L&T Finance Ltd. (LTF), one of the leading Non-Banking Financial Companies (NBFCs) of the country, has forged a strategic partnership with PhonePe, India’s leading fintech company offering a wide range of financial services and products. The collaboration amongst both the Companies is aimed at broadening the range of financial products and offering secured lending to customers across Housing and Two-wheeler Financing.
The introduction of the Housing Finance and Two-wheeler Finance solutions will empower individuals seeking home and mobility financing options. With L&T Finance’s ‘Complete Home Loan’ borrowers would be able to avail themselves of ‘Home Décor Finance’ for their interior decoration needs, experience the Company’s ‘Digitised Process’ and leave their hassles to a ‘Dedicated Relationship Manager’. Borrowers would now be able to explore and choose from a variety of offerings from LTF allowing them to optimise their financial strategies. Furthermore, with LTFs Housing Finance and Two-wheeler Finance options borrowers can acquire easy financing at competitive interest rates starting at 8.65% and with repayment tenures of up to 30 years respectively.
Commenting on the partnership Mr. Sanjay Garyali, Chief Executive – Urban Finance at LTF, said, “Our partnership with PhonePe represents a significant milestone in our commitment to delivering innovative financial services to customers nationwide. This strategic collaboration aims to revolutionise the lending landscape by harnessing PhonePe’s expansive reach and digital platform alongside L&T Finance’s expertise in providing trustworthy financial solutions, thereby driving financial inclusion on a large scale. Through this partnership, customers will enjoy seamless access to competitive Home Loan and Two-wheeler Loan options, empowering them to realise their dreams of homeownership or vehicle ownership effortlessly. Customer will also be able to transfer their existing home loans at competitive interest rates to avail ‘Complete Home Loan’ benefits & also reduce their EMI burden. We firmly believe that LTF and PhonePe are poised to establish new standards in the lending industry, redefining convenience, accessibility, and customer satisfaction.”
Speaking on the launch, Hemant Gala, CEO, PhonePe Lending said, “We are excited to collaborate with L&T Finance to offer Housing and Two-wheeler loans to our users through our newly launched Secured lending platform on the PhonePe app. This partnership allows us to combine PhonePe’s technological expertise and massive user base of over 535 million along with L&T Finance’s trusted lending experience, to enable access to secured lending solutions to our users on a single platform to meet their financial needs. Lenders are investing heavily in digitising the secured loan journeys and customers are adapting to the digitisation at a rapid pace. We believe it’s a great time to revolutionise secured lending product experience for the customers working with the lending ecosystem.”
LTF achieved the highest ever quarterly disbursements at Rs. 2,513 Crore, up 70% Year-on-Year (YoY) in Q4FY24 across the Housing Finance and Loan against Property business. The growth across the segment was driven by sustained business momentum through strategic measures like deepening geographic presence, solid DSA, and channel partnerships and increasing customer retention.
LTFs Two-wheelers business registered disbursements of Rs. 2,502 Crore in Q4FY24. The disbursements were up 45% from Rs. 1,727 Crore in the same quarter last year. The growth for the segment was additionally driven by geographic penetration, maintaining a strong focus on customer value proposition, and building preferred dealer / OEM relationships to grow market share. At LTF, the focus remains on continuously increasing the Prime & EV segment owing to deepening & new tie-ups with leading industry players.
