Mukesh Bubna, Founder & CEO Monexo, An online Peer to Peer lending marketplace
Monexo, a Chennai-based RBI licensed digital peer-to-peer (P2P) lending platform is the fastest growing lending marketplace connecting lenders to creditworthy borrowers at a click of a button.
Have you heard about peer-to-peer lending before?
If your answer is yes, then you’d be interested in listening to this episode because we have invited the founder of a peer-to-peer online marketplace today to be our guest.
The peer-to-peer lending model allows individuals to borrow money from each other without the involvement of a financial institution.
But if you have no idea about it, then you must listen to what our guest has to say. You’ll understand everything about the platform, the way it works, the difference in peer-to-peer lending and cheat funds and learn some entrepreneurial lessons as well.
About Mukesh Bubna
Mukesh is the founder and CEO of Monexo which is an online peer-to-peer lending marketplace.
“It’s not a distant future where somebody needs the emergency money at night, will be able to come to our platform, fill the application and get the money on their bank within five minutes”
What’s Monexo? How and why was it founded?
Mukesh shares the story behind starting Monexo. he says that the idea of founding it had struck him in 2006 during a conference in Singapore where around 40 bankers had assembled from the leading banks. The topic of discussion was the future of banking. He tells that there was one person among them who was not a banker and was the founder of SOPA, the UK’s first peer-to-peer lending company. This person told Mukesh about how he was running it successfully for about 24 months. However, Mukesh continued banking for another 2 years until the crisis hit in 2008 and the banks suffered a great deal. So, he started thinking of peer-to-peer lending, saw this in China, and finally in 2016 switched to this himself.
How does peer to peer lending work?
We have been lending to and borrowing from people we know, family members, friends, colleagues, etc., for years, says Mukesh. Peer-to-peer lending makes it possible for people to lend to each other without the geographical location or similar occupation being the limitation as it happens digitally.
What have been some of your challenges and learnings as you scaled up?
Mukesh talks about the importance of prioritizing things as an entrepreneur as there is the challenge of resources-people, money, and time. And you need to prioritize and narrow down so that you can manage these well.
“Find the narrow segment which you want to serve and serve it well.”
The second challenge that he shares is that of technology which is constantly and rapidly changing. As a result of which, they have to adapt continuously to the changing technology.
And the third challenge that Mukesh talks about is engaging with the people of GenZ and GenY. It’s important to understand them very well in order to have good communication, he adds.
What are the risks associated with peer-to-peer lending?
There’s no one-to-one transaction in peer-to-peer lending, explains Mukesh and the exact process of how the transaction takes place. Then he confirms that the ID of the borrower who gets registered is first verified to know if he is genuine or fake. The second thing taken into consideration is his ability to repay the loan. Only if he has the means to repay, is he listed as a borrower. Also, his history of loans is checked to know if he has done it consistently.
About Monexo FinTech Pvt. Limited: Monexo, a Chennai-based RBI licensed digital peer-to-peer (P2P) lending platform is the fastest growing lending marketplace connecting lenders to creditworthy borrowers at a click of a button. Monexo’s lenders get access to AI-driven risk assessment technology solutions that have created a minimum risk and low market volatility investment asset product that has gradually strengthened over the past four years showcasing returns close to 2X of FD even through market turbulence. Borrowers can access instant loans at the click of a finger and build their credit score easily within a short span of time. Monexo has over 2 lakh registered customers and is growing rapidly helping people make themselves financially inclusive borrowers to all formal lending institutions across India thereby reducing their need to avail high-interest rate loans for personal and financial growth.