Muthoot Finance goes digital to support demonetization

Muthoot Finance initiated online platforms to support demonetization move by the government. It introduced multiple cashless ways for customers to take and repay loans, as well as pay interest on existing loans, the company said in a release.

For disbursement of loans, the company encouraged online gold loans, direct credit to customer’s bank account or by loading the loan amount on a prepaid VISA card, it said.

It started accepting payments on the online platform (Webpay), mobile application (iMuthoot) or through RTGS/NEFT/IMPS facility, along with cheques and demand drafts.

After the November 8 de-legalizaion of 500 and 1000 rupees note, there are no two words that the government is promoting digital payment. Muthoot Finance's adoption on online payments will let their customers pay interest and principal dues online anywhere-anytime at their own convenience without visiting the branch.

Commenting on the online initiatives, George Alexander Muthoot, Managing Director, said, “The demonetization initiative will immensely benefit the organised players in the sector. The unorganised players, however will be impacted as they don’t have these online transaction facilities.”