Manappuram Finance to launch debit card to offer gold loans to customers without bank accounts

Kerala-based non-banking finance company Manappuram Finance plans to launch co-branded debit card to offer gold loans to customers without bank accounts.

The company is in talks with a few banks to launch the co-branded cards scheme, Managing Director and CEO V P Nandakumar told PTI.

"A co-branded will expand the potential customer base for 'online gold loan' to even those who don't have access to a bank account. They will be able to withdraw the proceeds of the online gold loan from any ATM around", he said.

"While we are in talks with a few banks, names can be made public once there is an agreement", he added.

The Kerala-based diversified NBFC had reported a net profit of 30% at Rs 353.36 crore for fiscal 2015-16.

As part of its diversification plans, the company also plans to raise the business coming from non-gold segment to about 20-25% in next two years, Nandakumar said.

Company's consolidated Asset Under Management went up to Rs 11,433 crore in the fiscal ended March 2016, from Rs 9,593 crore recorded in the previous fiscal year.

Apart from loan against gold, the company has already diversified into microfinance, home and commercial vehicle loans, SME finance, depository services, money transfer and foreign exchange business.

"We are now considering an entry into two-wheeler finance", the CEO said.