Following the Reserve Bank of India’s (RBI) June notice that tried to ban non-bank PPIs from expanding credit lines, Slice — a compensation later card startup significantly impacted by the move — has said it will currently begin offering constant exchange based term credits rather than a credit line.
In its most recent item update, Slice carried out another element to clients called ‘buy power’ to evaluate each and every exchange pursued by clients and settle on a decision on whether it will be handled.
The email, says the move is to “protect you from dangers, for example, fake traders and validity issues”.
“The choice will be resolved basically founded on dealer validity, risk, misrepresentation checks, and your previous installments, and reimbursement designs,” Slice wrote in an email to its clients.
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In its email, Slice said it will utilize information science demonstrating and computerized reasoning (AI) to settle on the exchange choices better and quicker. It guaranteed clients their financial assessments wouldn’t be impacted by the most recent item update.
Additionally, it had requested that its clients check their spending power on the application to comprehend whether their exchange will go through at the retail location (PoS).
Last month, the RBI banished fintech firms from stacking credit lines into prepaid installment instruments (PPIs) and wallets, driving card-based pay-later organizations to reevaluate their methodology.
Established in 2016 by Rajan Bajaj, Slice offers credit and installment cards (in association with Visa and SBM Bank), focusing on youthful shoppers with restricted to no record of loan repayment. However to turn productive, Slice professes to have 5,000,000 enlisted clients on its foundation.
In June, the Registrar of Companies (RoC) filings got to by YourStory, showed Slice had accepted investors’ endorsement to raise Rs 200 crore by apportioning Non-Convertible Debentures (NCDs).
The fintech startup has brought $50 million up in its Series C round from Tiger Global Management, Moore Strategic Ventures, Insight Partners, and GMO VenturePartners.
The startup said it would utilize the funding to help its new UPI item development. Until this point, Slice has brought $270 million up in absolute subsidizing.
