Xiaomi has announced that it has disbursed over Rs 125 crore of loans via Mi Credit till December 2019. The leading smartphone and smart TV brand had introduced Mi Credit in India in early December. The service is an online curated marketplace for lending. Xiaomi claims that the service aims to offer best personal loans to Mi fans in India. The company has also confirmed that nearly 50 percent of this loan disbursement went to non-Xiaomi Android smartphone users. Also Read - Realme PaySa takes on Xiaomi Mi Credit with full stack financial services platform
Mi Credit: Check out loan disbursement details
The Mi Credit app is part of Xiaomi’s growing ecosystem of services aimed at millennials and internet users. The service also allows users to instantly check their credit score. It is available for free and is powered by Experian. In a released statement, Xiaomi confirmed that over one million users have availed this service till the end of December 2019. The app comes preloaded on Xiaomi smartphones running MIUI and is also available for download via Google Play Store, GetApps and Xiaomi’s own app store. Also Read - Xiaomi Mi Credit launched in India: Everything you need to know
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“The current lending partners are primarily NBFCs or Fintechs such as Aditya Birla Finance Limited, Money View, EarlySalary, Zestmoney and CreditVidya,” the company said. “It’s built as the first personal loan choice for aspirational young professionals and millennials. Mi Credit solves most challenges associated with the traditional lending industry with a 100 percent digital experience.” Also Read - Xiaomi Mi Credit launching in India next month: Everything you need to know
The Mi Credit app serves as a platform to secure loan with an easy and interactive user interface. First time users can complete their application within five minutes while repeat customers can avail a loan with one click disbursement. The customer has the option to choose the amount and tenure once the loan is approved. Xiaomi claims real time disbursement of loans and lower interest rates as key advantage. The digital platform comes with other advantages as well.
Since it is a platform with multiple lenders, the chances of securing a loan increases multiple folds. It also ensures higher success rate, with higher loan amount at a lower interest rate than any other existing solutions in the market. Xiaomi has announced that it will limit its revenue from hardware sales to 5 percent. It aims to expand its revenue source to internet services like Mi Credit. Now, the announcement shows that the company is becoming a services company.