PhonePe launches new credit section with free checking of credit score

Bengaluru, 21 December: PhonePe on Thursday announced the launch of a new credit section on the payment platform, which will allow users to view their credit bureau score without any additional cost.

This section will also conveniently manage users’ credit or Rupay cards apart from the facility to repay loans and credit card bills, the fintech firm said in a press release.

According to the company, the credit bureau report will provide users with summarised credit insights such as their credit utilisation, credit age, on-time payments, and more.

“We are excited to launch the credit section on the PhonePe app, inching a step closer towards our aim of catering to the credit needs of our consumers across various segments. We believe that financial empowerment starts with understanding and managing your credit health. This launch is a significant step towards providing our users with the tools and knowledge they need to make informed financial decisions,’’Hemant Gala, CEO of PhonePe Credit said.

PhonePe is betting big on the credit space with plans to launch its own consumer loans within its app soon. The Walmart-backed company will be working as a distributor for personal loans and it is currently developing its underwriting tools. According to reports, it is in the final stages of integration with five lenders.

“In the coming months, PhonePe will expand its credit offerings by introducing consumer loans within the app. This marks the beginning of its commitment to address the diverse credit requirements of its customer base across various segments. We are closely working with its lending partners to build a sustainable lending business,” the company said in the release.

With rising demand for personal loan among consumers, all major payment platforms are building their own loan sections to disburse credit through collaboration with banking partners.