Home Credit India Finance Pvt. Ltd., one of India\u2019s fastest growing non-banking finance company, has been assigned an IND A\u2212\/Stable rating from India Ratings and Research Pvt Ltd., a Fitch Group company. Separately, the rating has been upgraded by CARE Ratings to A- from BBB+. The new rating is based on factors like experienced management team, comfortable capitalization and liquidity, adequate risk monitoring & appraisal systems, unique business model, high focus on Indian market, cost efficient point of sale network and continuous support by Home Credit Group.<\/p>\n
According to India Ratings, one of the key rating drivers is India being a high potential market in Asia for Home Credit Group. \u201cIndia offers a large population with high mobile penetration and low competition in financing low-ticket unsecured consumer durables segment. Based on the credit history available, the company leverages the credit life cycle of existing customers by providing cross-sell personal loans,\u201d the rating agency said.<\/p>\n
Noting that Home Credit India\u2019s market share in the mobile financing segment has been rising steadily, India Ratings said this gives the consumer loans provider a competitive edge in key geographies dependent on small retail format players for mobile sales. The increasing market share along with Home Credit India\u2019s foray into online lending further improves scalability.<\/p>\n
In a separate note, CARE Ratings said the capitalization of Home Credit India is comfortable and is supported by continuous equity infusion from the promoters. As against the regulatory requirement of having a minimum capital adequacy ratio (CAR) of 15%, the company had CAR of 26.33% as of March 31, 2018. Highlighting adequate capitalization as an important driver, India Ratings said, \u201cIts liquidity is adequate due to the short tenor advances extended.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Home Credit India Finance Pvt. Ltd., one of India\u2019s fastest growing non-banking finance company, has been assigned an IND A\u2212\/Stable rating from India Ratings and Research Pvt Ltd., a Fitch Group company. Separately, the rating has been upgraded by CARE Ratings to A- from BBB+. The new rating is based on factors like experienced management […]<\/p>\n","protected":false},"author":3,"featured_media":1232,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[31],"tags":[585,586,584,587],"class_list":["post-1231","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-care-ratings","tag-home-credit-group","tag-ind-a-stable-rating","tag-india-ratings"],"aioseo_notices":[],"yoast_head":"\n