Now, you can take instant loans from Xiaomi: Here's how
Chinese smartphone manufacturer Xiaomi has launched Mi Credit, an instant personal loan feature exclusively for MIUI users. Loan providers are listed on the Mi Credit platform, and users can log in and apply for personal loans which come with a gamut of repayment options. With the launch, Mi Credit becomes the third value-added internet service for Indian users, after Mi Video and Mi Music.
Xiaomi wants to provide everything from content to financial services
"Xiaomi provides internet services to give users a complete mobile internet experience and MIUI functions as an open platform for us to deliver our wide range of Internet services like content, entertainment, financial services and productivity tools," said Manu Jain, VP and MD, Xiaomi India.
Mi Credit offers a hassle-free application process
The Mi Credit platform allows users to apply for a loan from anywhere at any time. Loans offered range from Rs. 1,000 to Rs. 1 lakh. Notably, Mi Credit offers a hassle-free approach to apply for instant loans wherein the application process is entirely online and can be completed using Aadhaar and PAN cards. Loans are reportedly disbursed within 10 minutes of application.
The instant loan options available on Mi Credit
However, for now, the only loan provider listed on Mi Credit is KreditBee. KreditBee is an instant loan platform which offers salary advances of up to Rs. 1 lakh. It offers two different loan options - between Rs. 1,000 and Rs. 9,900, to be repaid within 15 days. The other is between Rs. 10,000-Rs. 1 lakh, and the repayment tenure is 30-90 days.
KreditBee charges 3% interest per month
"For 15-day loan products from Rs. 1,000 to Rs. 9,900, we charge a flat interest at 1.48 per cent (36% p.a.). For 30-90 day loan products from Rs. 10,000 to Rs. 1 lakh, we charge an annualized interest rate of 36% pa," says KreditBee.
Mi Credit is likely to expand available options soon
It's quite likely that Xiaomi will start offering more options on Mi Credit fairly soon. In October 2017, the Chinese smartphone maker led an $8mn funding round in student financial services start-up Krazybee. Reportedly, Xiaomi is also looking for a stake in fintech start-up ZestMoney. Last year, Xiaomi CEO Lei Junin had also announced that Xiaomi would invest $1bn in 100 Indian start-ups.