MUMBAI: Digital loans grew 43% during the September quarter, a report from the Fintech Association for Consumer Empowerment (FACE), an industry body for digital lenders, showed.
During the second quarter of the 2024 financial year, FACE member companies disbursed loans of 2.4 trillion, marking a 39% increase over the 223rd quarter and a 10% growth over the previous quarter. The disbursement amount increased by 43% to Rs 31,692 crore in 2nd quarter of fiscal year 2024compared to Rs 27,673 crore in the same period last year, with more than three-quarters of companies reporting positive annual growth.
The total assets under management (AUM) for fintech loans companies reached Rs 36,169 crore with 69% on balance sheet, rising to 79% for companies with their own NBFC. The growth rate of digital loans may slow down, with RBI warning about high growth rates and increasing capital requirements for unsecured loans. Some fintech players like Paytm have decided to go slow with small personal loans and focus on larger loans.



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