Xiaomi launches its digital lending platform ‘Mi Credit’ in India

Xiaomi Mi Credit lending platform disburses loans up to 1 lakh and lets users check their credit score for free. Mi Credit comes preloaded on Xiaomi phones and can be downloaded from Play Store as well.

Xiaomi Mi Credit launch in India. (Xiaomi)

Xiaomi on Tuesday launched its digital lending platform 'Mi Credit' in India. Xiaomi's Mi Credit platform will provide loans up to 1 lakh and to users above the age of 18. Xiaomi has partnered with top lending platforms for Mi Credit in India.

Xiaomi had been running Mi Credit in a pilot format and it is available in over 10 states in India. Xiaomi said it has already disbursed loans of over 28 crores in November this year. The company also said over 20% of the users have availed the highest amount of loan that is 1 lakh.

The company today announced Mi Credit platform officially in India. Interested users can get personal loans up to 1 lakh on Mi Credit. Xiaomi says first time users can complete the application process in 5 minutes on Mi Credit. The personal loan platform also supports all major banks in India. Xiaomi has partnered with Aditya Birla Finance Limited, Money View, EarlySalary, CreditVidya and ZestMoney for Mi Credit.

Mi Credit app is currently available only for Android users in India. The app can be downloaded from Google Play Store. It will also come preloaded on all MIUI phones. Interested users can register using their Mi account or phone number on Mi Credit. KYC documents, address proof and bank details would be required for the loan application process.

Mi Credit allows users to choose the amount and the tenure of the loan once it's approved. Users get a repayment period of 91 days to 3 years with interest rates starting at 1.35% per month. In its app description Xiaomi explains, "For example, if the loan amount is ₹20,000, interest charged is 16.2% per annum and the loan is to be repaid over 6 EMIs, then the overall interest payable would be ₹937 and the EMI per month would be ₹3423."

Users can also check their credit report on the Mi Credit app itself though a service powered by Experian. The company says that all user data is encrypted through Amazon Web Services' cloud servers.