Bajaj Finserv and digital wallet provider have entered into a strategic partnership with MobiKwik to launch Bajaj Finserv Wallet, a platform that will offer fintech lending services like purchase finance, credit card, mortgage loans and personal loans along with insurance products.
A few weeks ago, Bajaj Finserv invested around $35 million in MobiKwik to acquire a stake of 11%.
Now, through the app, the customers will get an idea of the credit they can avail as against the current scenario where purchasers in a retail outlet are offered credit. Through the current merger, pre-approved e-wallet holders will comfortably be able to take credit from Bajaj Finance for the purchases that can be reimbursed in EMIs. The newly designed app by MobiKwik will have all the functionality of the current app along with Bajaj Finance’s EMI card and access to its merchant network of over 2 million retailers. Also, users will get an access to Bajaj Finserv’s Distribution Network of over 33,000 outlets. With its nearby capability search option, you will quickly get information regarding nearest Bajaj Finserv’s distribution point or the closest Mobikwik Merchant Network outlet based on a number of categories like gadgets, clothes, travel, groceries, etc.
MobiKwik, founded by Bipin Preet Singh and Upasana Taku in 2009 has a user base of 55 million. This tie-up will increase the count to 100 million in a flash. MobiKwik has in all raised $80 million till date from major investors like Sequoia Capital, American Express, Tree Line Asia, Cisco Investment, and Mediatek. In the year 2013, it received a license from the Reserve Bank of India to launch its digital wallet.
This investment will help in the development of Bajaj Finance Ltd’s existing businesses and will provide a user-friendly application for customers seeking for financial services. Also, the new Bajaj Finserv Wallet will come with a built-in digital EMI card. This will put an end to the hassle of actually carrying a physical card. Apart from this, it will also improve the security and make the process of blocking and unblocking easier.
