Today, Paytm launched a collaboration with Piramal Capital & Housing Finance to increase the availability of merchant loans in India’s smaller cities and villages. Over 300 branches exist for Piramal Capital & Housing Finance, a division of Piramal Enterprises Limited. Loans up to Rs. 10 lakhs with a 6- to 24-month term are available to merchants. According to Paytm, personal loans would soon be included in the relationship between the company and Piramal Finance.

Through data-driven underwriting and credit sanctions based on business income, Piramal Finance wants to use the vast base of merchants that Paytm has gathered from large and small cities across the nation. This will make it easier for small business owners to obtain loans. Additionally, this cooperation will soon be extended to cover personal loans. Piramal Finance will contribute its in-depth knowledge of risk and consumer segments, according to One 97 Communications, the company that owns the Paytm brand.

With 309 operating branches, Piramal Finance is expanding with the goal of being present in 1000 towns and cities. Additionally, Piramal Finance is attempting to transform all former DHFL branches into multi-product branches. Piramal Finance had purchased DHFL the previous year.

Bhavesh Gupta, CEO of Lending and Head of Payments at Paytm, commented on the cooperation with Piramal Finance by saying, “We continue to witness tremendous growth across all our lending products, where we empower MSMEs from smaller cities and villages with access to digital finance. We feel confident expanding and enhancing our credit options due to the popularity and scope of our lending solutions.