[App Fridays] Does Xiaomi’s Mi Credit Really Get A Personal Loan Instantly?
Earlier this month, Chinese smartphone maker Xiaomi launched its digital loan solution, Mi credit, in India, touting a simple application process for obtaining personal loans. After approval, users have the option to choose the loan amount and duration.
The app is available to everyone Android users and not limited to Xiaomi users only. The Mi Credit app is preloaded on all MIUI phones and can also be downloaded from Google Play Store and GetApps, Xiaomi’s own app store. On Play Store, he has already passed five lakh downloads with an average rating of 4.4 stars.
The smartphone major says the app is designed as the premier personal loan choice for ambitious young professionals and millennials. Xiaomi claims that Mi Credit solves most of the challenges associated with the traditional lending industry with a 100% digital experience.
Your story explored the app, and here’s what we think:
Mi Credit is essentially a organized market with Xiaomi working with loan partners, mainly NBFCs and FinTech companies, such as Aditya Birla Finance Limited, Money View, EarlySalary, ZestMoney and CreditVidya.
As soon as you download the app, you are prompted to allow access to your messages, contacts, and locations. If you agree, you log in via a phone number and the app takes you to a clean, clutter-free home screen.
The home page has three tabs at the bottom: Borrow, Repay and Profile. And at the top you will find the maximum loan amount that you can borrow. At present, the app does not grant loans exceeding Rs 1 lakh.
Users can also check their credit score instantly on the app, for free, a service that is powered by Experiential. When we checked out, our score was generated with one click.
Mi Credit has conducted a pilot project in India and has already disbursed loans amounting to over 28 crore rupees in November 2019. Xiaomi states that over 20% of users have received the highest loan amount of Rs. 1 lakh.
Currently, Mi Credit serves over 10 states covering 1,500 PINs and aims to expand its availability to all PINs (over 19,000 in total) by the end of fiscal 2019.
How To Make Money Fast
But how easy is it to get a loan on Mi Credit? You click the “Get Now” button next to the amount on the home page, and the app will take you to the app page. The following is a simple form for assess your loan eligibility, with details such as date of birth, phone number, email id, PAN, job type, and salary / income range. The company claims that all user data on Mi Credit is stored securely in an encrypted format in India through its cloud partnership with AWS.
The next step is to upload a photo of your PAN card and government ID for proof of address, along with a selfie. This process is simple, smooth and fast.
We got the approval immediately for the loan of Rs 1 lakh. However, we were informed within 24 hours that the request was not processed. The message from Xiaomi stated that Mi Credit was unable to approve the loan application because it did not meet the criteria of the lender’s policy and suggested that we can try again in 15 days.
When you apply for the loan on the app, you can click the amount button at the top to check the approval status as well. When we checked, we were informed that our loan application may have been refused for reasons such as the currently unusable location, the job profile not meeting the criteria, or for reasons such as absence of several IMEs. However, none of the reasons applied to us, and we also had an “excellent” credit score.
However, true to its “organized market” offering, Xiaomi does not disappoint. If the request is rejected, you can either try again later or “check other products”. When you click on the options to check other products, the application redirects you to a third-party platform where you can see more loan offers from other platforms, if you are in urgent need of money. We did not apply for a loan on the third party site.
Yeah or Nan?
Mi Credit gets a ‘yay’ for a truly paperless experience. In fact, he thought it was one of the easiest loan application apps thanks to its intuitive interface. The whole process only took us five minutes as we had our PAN card and government photo ID handy.
But it doesn’t matter if you don’t get the disbursement amount as quickly as the approval. So even though the app is very fast, the users might not get the money instantly. Many users of the app seemed to have the same experience, as some reviewers on Play Store disapproved of the fact that they had not had the money in their account for days despite their loan approval, while some others rated Mi Credit as the best app. and that they got the money within 10-15 minutes.
This is where a solid customer support experience will come in and it will be interesting to see how Mi Credit complements its current offering – an FAQ page and a customer service number..
(Edited by Evelyn Ratnakumar)