Fintech services are becoming increasingly integrated with ecommerce and digital payments in India. Fintech companies offer alternatives to traditional banking by providing easier access to accounts, loans, and bill payments. While this increases consumer options and convenience, it also brings some risks like potential fraud or loss if not properly regulated. Some major Indian fintech firms include Paytm, Freecharge, MobiKwik, BankBazaar, and Lendingkart, demonstrating the growth of this industry as new sources of funding have become available.

1. wwww.etailingindiaexpo.com
eTailing India Thought Corner
Fintech services are merging well into ecommerce and payment wallet industry in India.
Breaking the path of traditional banking system, fintech companies are penetrating deep
among Indian masses. According to Nasscom report, the total fintech software and services
market is estimated to be worth $8 billion.
Let’s see the pros and cons when you find it for banking.
Pros
 Ease of paying bills
 Ability to access accounts
 Simple to set up and use
Advantages
Easier access to loans

2. wwww.etailingindiaexpo.com
Alternative financing helps you with a more balanced and fair in terms of loan making
decision. Evaluation of credit report along with credit worthiness provides a comprehensive
sheet of a borrower that defines more than credit history.
Lower interest rates
Due to in-detail availability of financial information, helps in risk assessment, as lenders
determine more accurately the likelihood of payback from borrower.
Cons
 Increased security
 Reduced transaction problems
 Available balance access issues
Disadvantages
Inadequate regulatory oversight
Increased risk of fraudulency arises due to inadequate regulatory practice.
Higher risk of loss
Marketplace lending companies frequently advertise higher potential returns on
investments in loans which also mean a higher possibility of monetary loss.
Difference between Banks and Fintech Lending

3. wwww.etailingindiaexpo.com
Some big names in Indian Fintech industry
 Paytm
Area of operations: E-commerce, payment banks, and payments (wallet)
Total funding raised: More than $728 million
 Freecharge
Area of operations: Mobile payments (wallet), recharges
Key investors: ANT Financial, SAIF Partners, Intel Capital
Total funding raised: $120 million
Key investors: Hong Kong-based fund Tybourne Capital Management; SF-based fund
Valiant Capital Management; Sequoia Capital, along with Sofina and RuNet
 MobiKwik
Area of operations: Mobile payments (wallet)
Total funding raised: $85 million
Key investors: Japan’s payment gateway GMO; Taiwan-based semiconductor company
MediaTek; Cisco Investments, American Express, Sequoia, and Tree Line Asia.
 BankBazaar.com
Area of operations: Online marketplace for loans and insurance products
Total funding raised: $80 million
Key investors: Amazon India, Fidelity Growth Partners, Mousse Partners

4. wwww.etailingindiaexpo.com
 Lendingkart
Area of operations: Online lending platform for SMEs
Total funding raised: $42 million
Key investors: Saama Capital, Mayfield Fund, India Quotient, Bertelsmann India
Investments, Darrin Capital Management
With global bank revenues under pressure, there lays a competition to manage the assets of new
wealth from emerging Asian economies and so fintech services are spanning parallel to traditional
banking institutions.