Axis Bank on Thursday said it has started disbursing loans through the Account Aggregator (AA) framework, which enables easy and instant access to financial information of customers in a secure manner.
The country’s third largest private sector lender has already gone live on multiple Account Aggregators like Anumati-AA, OneMoney-AA and FinViu-AA, covering retail and SME customers.
An early investor in the AA framework, Axis Bank’s loan disbursals have increased more than 30 per cent month-on-month since going live on the data sharing platform.
The bank offers personal loans, credit cards, auto loans and small business loans through the account aggregator system, Axis Bank said in a release.
The lender said one can get instant loans in a completely digital and paperless manner.
AA is a powerful proposition which is scaling up rapidly allowing easy and instant access to financial information of customers in a safe and secure manner.
For customers, the AA framework is a big enabler as their financial information spread across multiple banks, insurers, mutual funds and other institutions are consolidated under a single digital framework, making it easily accessible.
Sameer Shetty, President and Head – Digital Business and Transformation, Axis Bank, said in keeping with the bank’s open approach, it can offer instant, digital and paperless loan solutions to customers.
“Customers can share their bank details with us and get access to loans. Account Aggregators are entities licensed by the RBI and offer customers a seamless digital journey to share their bank accounts with other regulated entities.
“We believe this is transformational, as it will improve lending of digital products and help in democratizing access to credit,” Shetty said.