Faircent, the online peer-to-peer lending marketplace has now reportedly secured fresh funding — undisclosed obviously — from T V Mohandas Pai’s Aarin Capital. The funding and financial details remain undisclosed, however source have confirmed of a fresh round taking place to Economic Times.
Faircent COO Vinay Mathews confirmed investment by Pai but declined to comment on the amount. Pai would be joining the board as an advisory board member and has done a strategic investment into the company.
Pai’s investment into Faircent has become all the more interesting, considering that Pai along with his ex-Infosys colleague V Balakrishnan had applied for permits to operate a small finance bank and payments bank, but failed to make it to the Reserve Bank of India’s final list.
Faircent had earlier secured close to $250 K in Pre-Series A round of funding led by Singapore based M&S Partners, taking up the company’s value to around a staggering $8 million.
The platform, currently in beta lets you easily take up money from willing lenders, or lend money to potential borrowers. Faircent displays a real-time feed, which shows parameters like the current average interest rates on its platform, number of loans approved/disapproved, and average loan amount sanctioned.
Go further down, and you will see five tabs showing different interest rates, categorised into Minimal Risk, Low Risk, Medium Risk, High Risk and Very High Risk Interest rates and loans. You will also see potential borrowers in each category along with the amount being asked to be loaned.
Faircent aims to create a virtual market place where borrowers and lenders can interact directly, without having to go through the traditional financial intermediaries like banks, who have become such behemoths in today’s time that they dictate all terms and conditions for both borrowers and lenders.