Fintech: An Offshore Perspective

What is FinTech lending?

FinTech lending is a decentralised form of lending which relies on technology and digital solutions to facilitate the process of soliciting applicants, applications and repayment, of loans. These digital lenders operate online and not in a physical location, as with traditional banks; and they use data-driven processes and technology to underwrite loans, calculate interest rates, service the loan debt and deliver loan proceeds to borrowers. FinTech lenders encourage financial inclusion and ensure that certain individuals, smaller start-ups or MSMEs, some who find it challenging accessing the traditional financial and banking avenues, can access funding without the need to produce onerous documentation. They guarantee fast responses, and innovative repayment plans (eg daily) via these digital capabilities. The FinTech market is certainly revolutionising the way traditional banking and financial services are currently operating and is