Following members of the FIAKS community participated in the knowledge sharing E-Panel discussions:
- Mr Sunil Kulkarni, Joint Managing Director, Oxigen Services (India) Pvt Ltd
- Mr Rishi Prakash Mantri, Senior Vice President (Digital Payment – Solutions & Design, YES Bank
- Mr Rahul Dayal, Senior Vice President & Head-Business Solutions Group Liabilities, cards & BI, RBL Bank
- Mr Abhishek Mody, Associate Director-Payment & Digital Initiatives, IDFC Bank
- Mr Ravi Virwani, Vice President – Rural Home Loans, Fullerton India Home
- Mr Aditya Soni, Business Leader-Payments, Fintech & Giftcards, Flipkart
- Mr Vaibhav Sangvi, Chief Technology Officer, Clix Capital
- Dr R Bhaskaran, Former Chief Executive Officer, IIBF
- Many other CEO/CXO Bankers & Fintech professionals on FIAKS Forum
FIAKS community Question
Should banks also look at balance sheet strength of such Fintech or FLDG (First Loss Default Guarantee) sufficient?
FIAKS Community Discussions
Banks have engaged with a few fintechs for customer acquisition and part of underwriting, especially through various tools/analytics for personal loans. Banks largely depends on the assessment done by fintechs to sanction such loans. These fintechs also share risk in case defaults happens later. Should banks also look at the balance sheet strength of such fintech or it is okay as long as fintech are able to provide bank guarantee (FLDG – First loss default guarantee) to the extent of 10% of the loans?
Responding to this question FIAKS community expert said Banks don’t “largely” depend on fintech companies – there are 3 models here:
Model 1 (only bank model) – In this model, fintech company primarily acts as a lead generator/customer acquisition platform
Model 2 (joint model) – In this model, both players have equal say. The model is developed and stacked on the Fintech platform to make the decisions faster and seamless.
Model 3 (only Fintech) This is only a fintech-led model. In the last 18 months, the number of fintech players that I have met is mostly using Model 2
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