IIFL Finance emerges as the second-largest NBFC in Indian gold loan market
Non-Banking Financial Company (NBFC) IIFL Finance has surpassed Manappuram Finance to become the second-largest gold loan provider. "The gold loan portfolio has crossed Rs 23,690 crore Assets Under Management (AUM), surpassing Manappuram Finance at Rs 20,809 crore worth of gold loan AUM.
"This has cemented IIFL Finance's position as the second largest gold loan provider in India in terms of AUM", IIFL Finance head of Gold Loan Business Saurabh Kumar, said. The market leader in gold loans is Muthoot Finance, with an AUM of Rs 66,089 crore as of September 2023.
Kumar said, "The company has about 18.6 lakh customers and over 70 percent of our customers are repeat customers helped by customer-centric approaches like repayment grace period, no foreclosure charges, transparency in dealings and proactive customer need identification". The company expects a 25-27 percent increase in gold loans in FY'24, he said.
IIFL Finance provides gold loans to salaried, self-employed, and Micro, Small and Medium Enterprises (MSME) customers in 1,486 towns and rural areas across 25 states and 4 Union Territories. In addition to gold loans, IIFL Finance offers affordable home loans, microfinance loans, and business loans. It has a consolidated Asset Under Management (AUM) of Rs 73,066 crore.
