mPokket to disburse instant loans of Rs 1,200 crore this fiscal

Lending platform mPokket on Monday said it will disburse Rs 1,200 crore loan to college students and young working professionals this fiscal year, an increase of over 70 per cent from 2019-20.

mPokket, an instant loan app, had disbursed about Rs 700 crore in the last fiscal.

"mPokket will disburse Rs 1,200 crore in 2020-21," the company said in a statement.

The firm has a user base of more than 1 million KYC-approved borrowers and the number is expected to reach 1.5 million by the end of this fiscal ending March 2021.

"Driven by our focus on the new segment of under-40 working professionals, we expect to close FY2020-21 with 1.5 million KYC-approved customers. Significantly, September 2020 disbursals are now poised to surpass those of pre-COVID February, indicating an uptick in consumer demand," said Gaurav Jalan, CEO and Founder, mPokket.

After small-ticket personal loans to students, the company recently expanded its portfolio to cater to the financial needs of salaried professionals.

Borrowers can avail loans of up to Rs 30,000, with the amount being instantly credited to the user’s bank account or digital wallet, the company said.

The company has more than 700,000 users registered as salaried professionals on its platform.

"Growth in the remaining half of FY2021 and FY2022 is slated to be propelled by expansion in this new segment – lending to young working professionals," the company said.

The disbursement in September 2020 is expected to exceed disbursals during the pre-COVID month of February 2020, it added.