#arvind kapil

The financial services industry in India is undergoing a digital transformation, and one area seeing significant impact is debt management. With the rise in unsecured loans and consumer credit, traditional recovery methods are falling short. Artificial Intelligence (AI) offers a way forward—enabling lenders to manage debt more efficiently while maintaining a positive customer experience.

The Limitations of Legacy Collection Methods

Manual processes dominate most debt recovery operations in India, from calling borrowers to sending agents for door-to-door collections. These approaches are time-consuming, inconsistent, and don’t scale well with growing loan books. They also risk alienating customers through impersonal or aggressive tactics.

AI Enables Proactive Risk Management

AI tools help lenders move from reactive to proactive debt management. Using predictive analytics, these tools assess repayment risk early in the loan lifecycle. Lenders can then design engagement strategies aimed at preventing delinquency, rather than responding to it after the fact.

Customized Interactions, Better Recovery

AI-powered systems study customer preferences and behavior, enabling highly personalized communication. For example, a borrower who responds to WhatsApp may not react to email reminders. AI helps lenders optimize contact methods and schedules for each borrower, improving repayment rates without harassment.

Poonawalla Fincorp: A Model for AI-Driven Debt Strategy

Poonawalla Fincorp has implemented an AI-based debt management framework that delivers on efficiency and empathy. By tracking key indicators of financial stress, the system flags at-risk borrowers early. The company then initiates customized, tech-enabled recovery actions—ranging from gentle nudges to structured repayment plans.

This approach has led to stronger recoveries and better borrower engagement. Poonawalla Fincorp’s CEO and Managing Director Arvind Kapil believes this is the future of lending—where data and compassion go hand in hand. The system also helps reduce manual workload, freeing up teams for higher-value tasks.

Chatbots and Digital Support Tools

Customer service bots are another AI-driven feature that supports debt management. These bots offer 24/7 assistance for common borrower queries like payment due dates or restructuring options. Their presence streamlines communication and reduces stress for borrowers.

Intelligent Segmentation and Targeting

AI allows lenders to slice and dice borrower data into meaningful segments. These insights enable precise targeting of communication and restructuring offers. High-risk borrowers receive early attention, while low-risk ones are nurtured differently—enhancing both efficiency and outcomes.

Conclusion

Poonawalla Fincorp, a key player in India’s financial services landscape, has made a notable entry into the gold loan sector. The announcement, made on April 15, 2025, reveals the company’s intention to expand its lending portfolio, bringing secure and customer-friendly financial solutions to a broader audience. This new product aims to strengthen the company’s market presence, especially in the rapidly growing Tier 2 and Tier 3 cities, which represent an untapped potential for financial services.

Plans for Extensive Expansion with 400 New Branches

To facilitate the widespread availability of its gold loan products, Poonawalla Fincorp plans to inaugurate 400 new branches over the next four quarters. This initiative is aimed at enhancing the company’s visibility and accessibility, particularly in smaller cities where demand for gold loans is increasing. The company promises quick loan approvals in under 30 minutes with minimal documentation required, making it an ideal solution for those needing rapid financial assistance. The branch expansion will provide much-needed access to financial services in underserved regions, allowing more people to benefit from the company’s offerings. Read more : Poonawalla Fincorp Limited Launches Fully Digital Personal Loan for Salaried Professionals

Transparent and Secure Financing Options

Poonawalla Fincorp’s gold loan product focuses on delivering a transparent and secure solution for both individual and business customers. By offering competitive interest rates and multiple repayment options, the company intends to cater to a wide range of financial needs, unlocking the value of customers' gold holdings. The company assures its clients that their gold assets will be handled with the utmost care, ensuring safety and transparency throughout the entire loan process.

The gold loan offering is part of Poonawalla Fincorp’s broader strategy to enhance its secured lending portfolio. It complements other financial products aimed at different customer needs, making Poonawalla Fincorp a one-stop solution for diverse borrowing requirements. According to Poonawalla Fincorp CEO Arvind Kapil, the product was designed with the customer’s journey in mind, blending traditional lending values with modern, convenient services.

Leveraging the Growing Demand in the Gold Loan Market

India’s gold loan market is undergoing significant growth, and Poonawalla Fincorp is strategically poised to capture this expanding opportunity. The company recognizes that gold loans have become an increasingly popular financial product, especially in rural and semi-urban areas where access to traditional banking services is often limited. As the demand for fast, reliable, and accessible loans grows, Poonawalla Fincorp sees an opportunity to tap into both urban and rural markets across the country. Read more: Poonawalla Fincorp Launches Gold Loans to Strengthen Secured Lending Offerings

India’s cultural affinity with gold, coupled with the ease of unlocking the value of existing gold assets, has made gold loans a popular choice among borrowers. With this in mind, Poonawalla Fincorp aims to strengthen its foothold in the sector by offering competitive rates, fast approvals, and secure transactions, ensuring that it remains a top choice for gold loan customers.

Customized Financial Solutions with a Customer-Centric Approach

At the heart of Poonawalla Fincorp’s gold loan product is a customer-centric approach. The company has brought in industry professionals to provide personalized guidance, ensuring that each customer receives the most suitable financial solutions for their needs. This focus on individualized support ensures that customers’ financial situations are considered, helping them choose the best loan terms and repayment plans available.

This approach goes beyond just offering a product; Poonawalla Fincorp aims to build long-term relationships with its customers, offering support and services that cater to their evolving financial needs. The company’s emphasis on accessibility, quick loan disbursement, and a wide array of repayment options ensures that borrowers can manage their loans with ease. Read more: The Rise of NBFCs in the Lending Market: Key Drivers and Recent Trends

Broad Range of Loan Products Available

While the new gold loan offering is the latest addition to Poonawalla Fincorp’s portfolio, the company already offers a diverse range of financial products designed to meet the needs of various customer segments. These include personal loans, business loans, vehicle loans, and commercial vehicle loans.

Poonawalla Fincorp’s personal loan products are geared toward individuals seeking fast and flexible financing options for personal needs, such as medical emergencies, education, home renovation, or weddings. With competitive interest rates and minimal paperwork, these loans are designed to provide quick access to funds when time is of the essence.

The company’s business loans are tailored to support small and medium enterprises (SMEs), providing financial assistance to help businesses grow, manage working capital, or invest in new projects. Poonawalla Fincorp’s commercial vehicle loans help transport operators acquire or upgrade vehicles, which are essential to the logistics and transportation industries. These offerings provide businesses with the tools they need to thrive in an increasingly competitive market.

Integration of Technology for Efficient Debt Management

Poonawalla Fincorp is also utilizing modern technology to enhance its operations. The company has incorporated technology-driven debt management and loan servicing solutions to streamline its processes. This approach not only improves operational efficiency but also enhances the customer experience by providing faster service, more accurate credit assessments, and better loan recovery management.

By leveraging technology, the company is able to reduce risks and ensure that both borrowers and the company benefit from a smoother, more efficient loan process. Technology also plays a key role in improving customer engagement and support, ensuring that customers receive timely updates and assistance throughout their loan journey.

Conclusion: Poised for Growth and Continued Customer Satisfaction

The introduction of gold loans into Poonawalla Fincorp’s portfolio marks a major step in the company’s mission to offer secure, transparent, and customer-centric financial solutions. The company’s expansion plans and focus on customer satisfaction will help it capitalize on the growing demand for gold loans across India. With its commitment to quick loan approvals, flexible repayment options, and secure transactions, Poonawalla Fincorp is well-positioned to play a leading role in India’s gold loan market.

Poonawalla Fincorp Limited has entered the gold loan space, adding a practical and well-trusted financing solution to its secured lending product lineup. This move aims to help individuals and small business owners meet urgent financial needs without having to sell or part with their gold. Supported by the Cyrus Poonawalla Group, the company continues to expand its services for customers across India.

This offering is crafted for those who are looking for fast access to money, whether it’s to fund personal goals, manage agricultural expenses, or invest in business growth.

Simple Process with Fast Disbursal Time

With approval times of under 30 minutes, the new gold loan product from Poonawalla Fincorp is both fast and user-friendly. Customers are required to submit only a few documents, and repayment options are available in multiple formats to suit different financial capacities.

The most appealing aspect is that borrowers can access funds without selling their gold. This ensures their asset remains intact, giving them both immediate liquidity and long-term security.

Top Leadership’s Take on the Launch

Sharing his thoughts on the introduction of this new service, Mr. Arvind Kapil, CEO & MD of Poonawalla Fincorp, said, “Our gold loan offering represents a natural progression in our secured lending portfolio, combining traditional value with modern convenience. We have designed this product with the customer journey at its core, respecting both the emotional and financial value of gold.”

He further mentioned that customer trust, clear processes, and safe handling of gold assets are critical aspects of the service, highlighting the company’s commitment to transparency and care.

Gold’s Role in Indian Families

Gold has always been a trusted asset in Indian homes. It is passed down through generations and held not just for adornment but as a financial fallback. Gold is often pledged during emergencies, celebrations, or investments. Poonawalla Fincorp recognizes this importance and has designed its gold loan service to respect that value while enabling customers to meet pressing financial requirements.

The offering ensures that customers are not only able to get credit quickly but also feel secure and informed throughout the process.

Expanding Footprint into Tier 2 and Tier 3 Cities

To make the gold loan service accessible to more people, Poonawalla Fincorp has planned the rollout of 400 new branches. These locations will be opened gradually over the next four quarters and will mainly focus on expanding the company’s presence in Tier 2 and Tier 3 cities.

These new outlets will serve customers closer to where they live and work, eliminating the need to travel long distances for reliable financial support. Each branch will have trained personnel to assist with gold valuations, documentation, and customer support in local languages wherever possible.

Market Trends Show Strong Growth for Gold Loans

The gold loan market in India is expected to grow further due to a rise in gold prices and increased demand for short-term credit. Urban and rural markets alike have shown strong interest in gold-backed borrowing options, thanks to their flexibility, fast processing, and lower eligibility hurdles.

This form of lending is also known to have low default rates since it’s backed by a physical asset. Poonawalla Fincorp is well-placed to serve this growing need with a product that stands on clarity, security, and trust.

Built on Responsible Lending Values

At the core of Poonawalla Fincorp’s strategy is a focus on secure and ethical lending. Every loan is issued only after proper gold valuation and risk assessment. Borrowers are informed clearly about repayment terms and interest rates. This ensures they can make informed decisions and avoid future financial strain.

The company believes in offering solutions that don’t compromise customer well-being. Even as it grows its offerings, it stays committed to processes that prioritize the financial health of the borrower.

Customer Service and Safety are Priorities

From start to finish, the gold loan journey at Poonawalla Fincorp is designed to be smooth and worry-free. Whether it’s documentation, valuation, or repayment, the steps are straightforward and backed by expert support at every branch. Gold is stored with the highest security standards and returned promptly once the loan is closed.

This focus on customer satisfaction is reflected in the way staff are trained, with emphasis on clear communication and prompt service delivery.

Connecting Traditional Value with New-Age Convenience

This new offering highlights how Poonawalla Fincorp is combining the reliability of traditional assets like gold with modern tools that simplify lending. The product is ideal for people who want to raise funds quickly without lengthy application processes or complicated eligibility conditions.

It also aligns with the company’s goal of making secure credit easily available across the country, especially in areas that are often underserved by mainstream banking.

Conclusion

Poonawalla Fincorp Limited has established itself as a major player in India’s non-banking financial sector, redefining loan accessibility with its digital lending solutions. The company has seen remarkable growth in recent years, with loan disbursements reaching ₹7,150 crore in Q3 of FY25. By focusing on fast, hassle-free credit, it has positioned itself as a go-to provider for instant personal loans.

To meet the rising demand for quick and convenient financing, the company is now catering to a more premium segment by offering higher loan amounts. Borrowers can access loans of up to ₹15 lakhs within just 15 minutes through a completely digital process, eliminating paperwork and unnecessary delays.

Expanding Leadership in Unsecured Lending

Poonawalla Fincorp Limited has gained a strong foothold in the unsecured lending space, leveraging its expertise to ensure smooth and risk-controlled loan distribution. According to Poonawalla Fincorp CEO Arvind Kapil, the company maintains low delinquency rates by focusing on high-creditworthiness professionals with stable financial backgrounds.

Arvind Kapil also emphasized the company’s commitment to a seamless customer experience, ensuring that applicants can obtain loans without any physical documentation or in-person visits. This user-friendly approach is a key factor in the company’s growing popularity among borrowers.

Diversifying Financial Offerings to Support Business Growth

Beyond personal loans, the company is expanding its lending portfolio to address the financial needs of small businesses and entrepreneurs. Recognizing the evolving credit requirements of micro, small, and medium enterprises (MSMEs), it is introducing several loan categories, including:

Gold Loans – Enabling borrowers to secure funds using gold assets.

Consumer Durable Loans – Providing easy financing for essential electronics and home appliances.

Used Commercial Vehicle Loans – Supporting businesses in acquiring pre-owned vehicles for operational needs.

Shopkeeper Loans – Helping small retailers manage working capital and expand their businesses.

Education Loans – Facilitating higher education financing for students and professionals.

With this diversification, the company is broadening its customer reach while strengthening its role as a comprehensive financial services provider.

Growth Strategy and Future Expansion Plans

Poonawalla Fincorp Limited has outlined an ambitious expansion plan to scale its operations in the coming years. The company is focused on doubling its workforce and increasing its branch network to nearly 400 locations, ensuring greater accessibility for borrowers across India.

In addition, it has set a long-term goal of increasing its total assets to ₹1.5 trillion (approximately $17.7 billion) within the next five years. This vision aligns with its strategy of leveraging digital lending solutions and enhancing financial inclusion.

Poonawalla Fincorp CEO Arvind Kapil has highlighted the company’s financial targets, including a net credit cost of 1.5-2% and a return on assets (ROA) above 3%. These goals reflect a commitment to sustainable growth and prudent risk management.

Enhancing Lending Efficiency with Advanced Technology

A major factor behind the company’s success is its strategic use of technology to simplify and optimize the lending process. By integrating artificial intelligence (AI) and data analytics into its credit evaluation systems, it has improved loan approval accuracy and reduced turnaround time.

The company has also entered into a partnership with IIT Bombay to advance AI-driven lending models. This collaboration is expected to enhance risk assessment, automate loan processing, and improve overall efficiency in financial services.

According to Poonawalla Fincorp CEO Arvind Kapil, using cutting-edge technology allows the company to make data-driven lending decisions while keeping default rates in check. This approach ensures that unsecured loans remain sustainable and profitable.

Building a Strong and Sustainable Unsecured Loan Portfolio

Navigating the unsecured lending landscape requires a well-balanced approach to risk and borrower selection. The company has successfully implemented a disciplined lending strategy that prioritizes financial responsibility over traditional collateral-based lending.

Arvind Kapil has reiterated that responsible lending is a key focus, ensuring that only eligible borrowers receive credit. By applying stringent evaluation measures and leveraging AI-driven analytics, the company continues to minimize risks while scaling its unsecured loan portfolio.

Conclusion

Poonawalla Fincorp Limited has transformed digital lending by providing fast and accessible financial solutions. With the ability to process and disburse personal loans of up to ₹15 lakhs within 15 minutes, it has set new industry standards for efficiency and customer convenience.

Poonawalla Fincorp is embracing the power of Artificial Intelligence (AI) to revolutionize its recruitment processes, setting a new standard for efficiency and precision in hiring. By blending innovation with strategy, the company is streamlining operations and preparing for a tech-driven future.

Accelerating Hiring Processes

Recruitment is often plagued by inefficiencies that result in delays and higher costs. Poonawalla Fincorp has addressed these challenges head-on with the integration of advanced AI tools into its HR processes. These tools have slashed the average time to finalize a job offer from ten days to less than one day, a 90% improvement in efficiency.

Also Read: Transforming HR Operations with AI: A Strategic Leap in Financial Services

The AI system automates crucial steps like candidate screening and document verification, ensuring accuracy and speed at every stage. This has not only improved cost management but also enhanced the overall experience for candidates, making the process smoother and more transparent.

Strategic Leadership Driving Change

At the helm of this transformation is Arvind Kapil, the newly appointed MD and CEO, whose leadership has been instrumental in steering Poonawalla Fincorp toward a future-focused vision. Kapil’s emphasis on AI as a cornerstone of the company’s strategy reflects a broader goal of building a customer-centric ecosystem.

Under his direction, the company is not only redefining its recruitment processes but also laying the groundwork for wider adoption of AI across other functions, such as compliance and customer service. This approach ensures that the benefits of digital transformation are felt throughout the organization.

Technology as a Growth Catalyst

Supporting this vision is the recent appointment of Salil Hajarnis as Poonawalla Fincorp’s Chief Technology Officer (CTO). With a strong background in digital innovation and AI integration, Hajarnis is leading the charge in modernizing the company’s technological framework.

Hajarnis’s role extends beyond recruitment. His expertise in enterprise architecture and platform modernization positions him to drive innovations across multiple operational areas. By implementing scalable, AI-powered solutions, Hajarnis aims to create a seamless experience for employees and customers alike, further solidifying Poonawalla Fincorp’s competitive edge.

Also Read: How Is AI Reshaping The Financial Sector

Beyond Recruitment: A Comprehensive Transformation

While recruitment serves as the initial focus for AI implementation, Poonawalla Fincorp plans to extend its applications to other critical areas. Compliance, customer service, and operational efficiency are all on the horizon for AI integration, ensuring the company stays ahead of the curve in a rapidly evolving industry.

Also Read: How IIT Bombay and Poonawalla Fincorp Came Up With AI Solution For HR

This phased approach allows the organization to build expertise in one domain before scaling to others, ensuring the smooth rollout of AI solutions across the board.

A Vision for the Future

Poonawalla Fincorp’s AI-driven recruitment strategy is a game-changer, showcasing the potential of technology to transform traditional business processes. The company’s commitment to innovation and efficiency positions it as a leader in the non-banking financial sector.

As a work-from-home mom balancing a career in IT and a growing interest in finance, I’m always fascinated by stories where technology changes how we work. Recently, a non-banking financial company (NBFC) integrated Artificial Intelligence (AI) into its Human Resources (HR) operations. This initiative not only improves efficiency but also demonstrates how technology can make work-life balance more achievable for employees like me.

Speeding Up Recruitment with AI

One thing that struck me about this move is how it addresses delays in hiring. Poonawalla Fincorp now uses AI tools for candidate screening and document verification, reducing the time to finalize job offers from 10 days to under one day—a staggering 90% improvement. For someone juggling multiple responsibilities, this level of efficiency is a dream. Faster recruitment means teams can onboard new talent quickly, ensuring less stress on existing employees who often have to pick up the slack during hiring delays.

Also Read: How NBFCs Are Using AI To Their Advantage

Streamlining Processes for Better Results

HR processes like resume matching, job postings, and document verification are now fully automated with AI. From my IT experience, I know how much time automation can save, not to mention the accuracy it brings to decision-making. This is a perfect example of how financial companies can adopt IT solutions to improve workflows. By automating repetitive tasks, HR teams can focus on what really matters—finding the right talent and creating a better employee experience.

AI-Powered Employee Assistance

One of the coolest aspects of this initiative is the introduction of an AI-powered WhatsApp bot. Imagine needing quick answers about leave policies or payroll details and getting them instantly—no more waiting for emails or HR callbacks. For someone who has spent hours navigating HR systems to resolve minor issues, this feels like a huge win. Real-time support not only helps employees but also reduces the burden on HR teams, allowing them to focus on more strategic tasks.

Also Read: How Is AI Reshaping The Financial Sector

Collaboration with Academia: A Unique Advantage

This transformation wasn’t achieved in isolation. The company partnered with IIT Bombay to develop its AI systems. I admire this approach because it combines the practical insights of industry with the rigorous research of academia. Dr. Pushpak Bhattacharyya from IIT Bombay emphasized that such collaborations create more effective AI models. This partnership highlights the importance of bridging the gap between research and real-world applications, a practice I hope more companies adopt.

Leadership Driving Innovation

The timing of this initiative aligns perfectly with the appointment of the company’s new Chief Technology Officer (CTO), Salil Hajarnis. With over 20 years of experience in AI, software engineering, and enterprise architecture, Hajarnis has the expertise to lead this transformation. His past roles at Fiserv and Capgemini, where he spearheaded AI-driven solutions and platform modernizations, are proof of his ability to bring innovative ideas to life.

What resonates with me as a working mom is Hajarnis’ focus on creating scalable, future-ready solutions. He understands the importance of technology not just for improving processes but for making employees’ lives easier—a perspective that aligns with my own experience in IT.

A Vision for the Future

The company’s broader vision is equally impressive. By embracing digital innovation, it aims to expand its business areas while building a customer-focused ecosystem. This is a reminder of how technology isn’t just about solving today’s problems but also about setting the foundation for future growth.

Setting a Benchmark in Finance

With an Asset Under Management (AUM) of ₹28,396 crore and operations across 18 states and 2 Union Territories, this NBFC is already a leader in its field. The integration of AI into HR operations adds another feather to its cap, showing that it’s serious about staying ahead of the curve.

Also Read: Poonawalla Fincorp’s Expansion Plans: Doubling Headcount and Exploring New Opportunities

Conclusion

As an architect, the principles of design and construction often mirror the dynamics of finance and investing. Just as buildings require strong foundations for sustainability, financial institutions need robust strategies for long-term growth. Poonawalla Fincorp Ltd., led by CEO Arvind Kapil, exemplifies this concept in the financial sector. With ambitious plans to double its workforce, expand its branch network, and grow assets to 1.5 trillion rupees ($17.7 billion) within five years, the company is crafting a financial framework that is as innovative as it is resilient.

Laying the Foundation: Workforce and Branch Expansion

Scaling any operation—whether in architecture or finance—requires a strong foundation. Poonawalla Fincorp CEO’s strategy to double its employee base within three quarters is akin to reinforcing a building’s structure to support future growth. Increasing its workforce from 2,500 to over 5,000 employees ensures the company can meet the demands of its ambitious plans.

Also Read: Poonawalla Fincorp Strengthens Leadership with Salil Hajarnis as CTO

In addition, the expansion of its branch network from 100 to 400 locations is a strategic move that emphasizes accessibility. These branches, combined with digital platforms, create a hybrid structure where financial services are available to underserved regions. For smaller cities, this dual approach acts as a bridge, bringing modern financial solutions to areas that were previously out of reach.

Diversification: The Pillar of Stability

Just as diverse materials strengthen architectural designs, diversification in financial products strengthens a company’s portfolio. Poonawalla Fincorp’s introduction of loans for gold purchases, used cars, shopkeepers, and education reflects a thoughtful strategy to mitigate risks. By targeting multiple customer segments, the company ensures stability in its revenue streams.

CEO Arvind Kapil, with his background at HDFC Bank, emphasizes that a diverse portfolio is essential for creating a sustainable business. By focusing on salaried employees from India’s top 300 companies, the company taps into a reliable and consistent customer base, much like architects designing for functional yet aesthetic spaces.

Also Read: Salil Hajarnis Appointed CTO: A Bold Move for Poonawalla Fincorp

Addressing Challenges: Adapting to Regulatory Norms

Every construction project encounters challenges, and the same applies to financial institutions. In India, slower credit growth and increased regulatory scrutiny have created hurdles for NBFCs. However, Poonawalla Fincorp sees these challenges as opportunities to reinforce its operational framework.

The company has raised provisions for bad loans and adjusted its operating costs to align with long-term objectives. For an architect interested in finance, this is a lesson in adapting to constraints while ensuring the overall structure remains intact.

Trust: The Bedrock of Financial Services

Trust is as vital in finance as it is in architecture. Poonawalla Fincorp benefits from the Poonawalla group’s reputation, established through its global contributions during the pandemic. This goodwill allows the company to build strong relationships with its customers, particularly in the retail lending segment.

Also Read: Poonawalla Fincorp’s New CTO: Salil Hajarnis Joins to Drive Digital Growth

Designing for the Future: Organic Growth and Innovation

Poonawalla Fincorp’s plans to grow organically highlight the importance of steady, well-planned progress. The company is also exploring wealth management, starting with distributing third-party investment products and eventually creating its own offerings.