How technology is transforming the digital lending landscape for consumers

Across the world, every business sector has found its route to accelerated transformation due to the outbreak of COVID-19 and rapid technological adoption, and the financial sector is not an exception. Technological advances combined with customer expectations are altering the way lenders operate. Furthermore, the increasing internet penetration and adoption of smartphone devices are pulling traditional and new-age borrowers towards digital lending solutions. According to a survey – around 40 per cent of borrowers led by millennials are willing to move to online mode in securing loans rather than offline channels. The accelerated push towards the adoption of digital tools makes technology the key enabler of the digital lending market. Contrary to the conventional lending market, digital lending combats major challenges of the market that served as the bottleneck of growth for many enterprises and individuals in India.