Being a payments bank, Mumbai-based Fino cannot offer credit from its own balance sheet. It needs to work with other lenders as a sourcing partner. The bank is currently undertaking pilots around products such as home loans, gold loans and other micro-credit products for merchants.
RBI eases restrictions on cash credit accounts, eases current account norms
The Reserve Bank of India has lifted all restrictions on banks opening and maintaining cash credit accounts, offering greater flexibility for short-term working capital loans.