BankSathi, GoodScore and Credgenics use AI to reduce loan rejections
Fintech startups like BankSathi, GoodScore, and Credgenics are using AI to help people, especially in smaller cities, build better credit profiles and get fewer loan rejections.
With around between 40 million and 45 million people turned down for loans every month, these companies see a big chance to make borrowing easier and fairer.
Lenders still step in despite AI
Even with all the new AI tools, lenders still need to step in when borrowers default since banks rely on some manual processes that tech hasn't replaced yet.
Startups like Paisabazaar are already using AI to analyze borrowers' credit histories and provide AI-led video score reports, and BankSathi's recent $2.3 million funding shows investors believe tech can make a real difference, but there's still room for more innovation.