Fresh from its seed round, LenDenClub made good on its promise and has launched a new version of its P2P lending platform with features including end-to-end automation of lender-borrower transaction cycle from registration, document verification, credit analysis, transaction matching to report generation. An algorithmic-based program, built based on artificial intelligence, will be used for reviewing borrowers creditworthiness. For the company, founded in 2014 by Bhavin Patel and Dipesh Karki, the upgraded P2P platform will accomplish a major milestone and prepare them for payment and digital signature automation to bring 100% automation in lending process through right technology for borrower identification, data collection, digital signature usage and payment automation.
“With this new platform, we have fulfilled key regulatory requirement set by RBI in its Peer to Peer Lending consultation paper,” LenDenClub CEO Patel commented. “In addition, zero manual intervention shall not only expedite entire process, but shall also facilitate in mitigating defaults through unbiased and accurate credit risk analysis.”
With this, the company has initiated the first leg of its long-term goal in creating a platform that can assess last mile borrowers, a feature that is currently unavailable even in the majority banks and NBFCs. According to the press release, the highlight of the program is an algorithmic model which is coded to identify borrowers’ financial trends and allocate credit scores based on the trends. The rating will automate allocating interest cost vis-à-vis risk factor.
In April of this year the Indian online peer-to-peer lending platform raised undisclosed seed round through Venture Catalyst, India’s first seed investment and innovation platform to strengthen the platform’s technology and increase its user reach. Anirudh Damani, Daud Ali, Narendra Karnavat, Vikas Kapoor, Vikram Lakhotia, Krishna Jhunjhunwaala and Jayesh Shah participated in the round.