Axis Bank, Autotrac Finance join hands to offer new tractor loans
Indian private sector lender Axis Bank has forged a partnership with Autotrac Finance (AFL), a non-banking financial company based in Gurgaon, under the co-lending model through the Yubi Co.Lend platform.
Through the collaboration, the two lenders will offer new tractor loans for agricultural and associated activities to meet the financial requirements of the rural sector in India.
The partnership will draw on the customer experience of Autotrac Finance and the deep financial knowledge of Axis Bank to enable easy access to credit for farmers at an optimal rate of interest.
Munish Sharda — Axis Bank Group Executive and Head of Bharat Banking said: “Our partnership with AFL is in alignment with the Bank’s Bharat Banking mission of extending our reach in the remote regions and providing financial services in a seamless digital manner.
“With this collaboration, we will increase our presence in the New Tractor business and improve access to formal credit to the farming community of the country. We are excited about the opportunity as our digital co-lending platform allows the partnership to scale-up fast at a lower operating cost, offering a superior customer experience.”
According to Axis Bank, Autotrac Finance has the advantage of having access to a substantial dealer network and customer base across the rural and semi-urban areas (RUSU) across 18 states. Autotrac Finance is expected to continue to grow its reach to ensure that farmers are able to fully adapt to the latest agricultural technologies, said Axis Bank.
The partnership will allow Axis Bank and Autotrac Finance to connect with prospective customers who aren’t able to profit from the benefits of a formalized credit structure.
With the help of the Yubi technology platform, the partnership will allow the easy processing of loans according to co-lending guidelines.
Raman Mittal — Autotrac Finance Joint Managing Director of International Tractors Ltd. (ITL) and Executive Director said: “Farmers always are at core of any new course of action taken by ITL and we believe that this partnership with Axis Bank will open a whole new era of possibilities for the entire farmer community.
“With this partnership, Autotrac Finance Limited (AFL) will leverage its fin-tech expertise and network to facilitate a seamless financial support to the farmers. Through our disciplined approach in digitization and analytics we will support farmers in acquiring the most advanced farm equipment from both, Sonalika and Solis-Yanmar at a competitive interest rates.’’