Truecaller Seeks To Leverage Its Chillr Online Payment Affiliate
Ticket size for loans will be around INR 50K and INR 5 Lakh
Initially, it will rely on the physical KYC authentication process
Sweden-based caller ID app Truecaller plans to provide a full range of financial services with an emphasis on digital loan service. The company will leverage the Chillr online payment app to enable this.
Truecaller, founded in 2009 by Alan Mamedi and Nami Zarringhalam had acquired Chillr in June 2018 to strengthen its payments activity in the country. Chillr Co-Founder and Vice President of Truecaller Pay Sony Joy said HEY that Truecaller Pay has a particular focus on providing small loans to users.
UPI based Truecaller Pay was launched in 2017 in partnership with ICICI Bank. The app allows users to instantly create a UPI ID and transfer money to any UPI ID or mobile number registered with the BHIM app. It will also allow users to top up their mobile phone number from the Truecaller app itself.
The ticket size for online lending will be around 50,000 INR ($ 723) and 5 Lakh INR ($ 7,230). Initially, loan services will be available in 22 cities. The company is expected to launch a pilot test shortly and plans to officially launch the service by May. In order to comply with user authentication rules, the company will initially rely on physical authentication processes, as there is still confusion over the electronic KYC process and its alternatives.
Truecaller plans to expand product portfolio in India
Joy explained that the company is looking to partner with banks and telecommunications companies to digitize transaction messages to show users important items on-screen and offer the option to pay with it.
He also added that Truecaller had partnered with a non-bank finance company, the name of which has not yet been released. This will allow Truecaller to access transaction data and SMS data of users and offer them a score. Based on the score, the consumer will be offered an unsecured personal loan.
The company also plans to serve as a discovery platform for various applications, user registration, engagement platform, and payment option for transactions that customers complete using the ‘application.
It will also introduce the option of “smart notification” which will allow users to get important messages like credit card bills or utility bills as on-screen notification.
Truecaller’s growing focus on the Indian market
Truecaller’s efforts in the Indian digital lending space have come at a time when the industry is projected to reach $ 1 billion and continue to gain popularity in the country. In an official Blog post published on February 20 recently, the company announced that it has 100 million daily active users in India. He also reported that one in ten active users in India have linked their bank account to Truecaller Pay.
“We will continue to expand into the Indian market and integrate more services to create a robust unified communication platform and make life easier for our users,” said Alan Mamedi, CEO and co-founder of Truecaller.
In order to comply with data location guidelines, the company also recently said that it will store all the data linked to Indian users locally in the country. According to the company, the move will protect users’ personal data and also encourage more transparency in the ecosystem.