Bengaluru: Singapore-based neo banking startup StashFin and SBM Bank India on Friday announced the launch of their co-branded contactless prepaid cards. Designed through collaboration, these prepaid cards will boost access to credit for underbanked consumers. With this launch, the innovation and technology-led business partnership are set to bridge the growing credit gap in India.
The Visa powered card comes with a contactless EMV chip, offering the cardholders 24×7 access to funds. With its enhanced safety and security features, the prepaid card acts like a personal overdraft facility, allowing the customer to take loans up to Rs. 5 Lakh. This card can be used for free ATM cash withdrawals and online/offline payments at all merchant platforms and PoS terminals across India. Notably, with a hassle-free approval process, card users can convert all their purchases into EMIs and pay interest only on the funds used, a unique feature available on the StashFin SBM card.
Talking about the partnership, Tushar Aggarwal, Founder of StashFin, said, “We are committed to offering seamless credit services to our customers and work tirelessly towards it”. The neo banking startup aims to disrupt traditional lending in India and increase the credit footprint amongst the unbanked population. “The sophisticated technology infrastructure of SBM Bank enables secured contactless payment instantly and offers 24×7 fund access anywhere in the country. We are glad to introduce a product that will fulfill the financial requirements of millions of consumers thereby ensuring their financial inclusion,” added Tushar.
Commenting on the opportunity, Neeraj Sinha, Head- Retail & Consumer Banking, SBM Bank India said, “With the economy rebounding rapidly, there is buoyancy in consumerism. Demanding access to affordable credit is key. Our collaboration with StashFin and subsequently the launch of the co-branded cards are small steps towards smart banking for lenders.”
The emergence of neo banks and the growth of the digital fintech sector has transformed the global financial architecture to a large extent. The ability of neo banking platforms like StashFin, to offer hassle-free, smart and transparent services has pushed modern banking towards a continually growing trajectory. The highly strategic bank and fintech partnerships aid the growth further with the ever-expanding reach and widened impact.