Digital Lender Association of India (DLAI) has come out with new guidelines to promote responsible lending and ethical collection practices during the tough macro-economic environment in the wake of coronavirus crises. DLAI is one of the important bodies representing the Fintech community.
According to the statement issued by DLAI, this new Code of Conduct is binding on all its members. The main aim of this code of conduct is to protect the interest of the customers and continue to promote the growth of Fintech industry in the post lockdown period.
For protecting customer interest, the new guidelines categorically states that digital lending companies cannot charge excessively high late payment fees.
There are mixed reports as how to COVID 19 lockdown will impact the growth of Fintech sector. To sum up the negative and positive vibes around the Fintech sector please check the below pointers.
Impact of Coronavirus on the Fintech Sector
About DLAI
DLAI is an association of 81 fintech entities, with some of them being Non-Deposit taking NBFC members. According DLAI official website, well-funded startups like Capital Float, LendingKart, Capital Float and IndiaLends are among its founding members. DLAI claims that its members have collectively disbursed more than Rs 200,000 crores in the last five years to more than 50 million urban small borrowers across 1500+ cities / towns in the country.