M&M finance: In a big move, Mahindra and Mahindra Financial Services Ltd (MMFSL) on Tuesday announced a strategic partnership with India Post Payments Bank (IPPB) to enhance credit access to a larger customer base. Following this move, the stock prices jumped more than 1 per cent.

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

On BSE, M&M Finance stock quoted a price of Rs 214.80 apiece as of 12:10 PM, up by 1.49 per cent. On NSE, the stock surged 1.47 per cent to trade at Rs 214.55 per share.

M&M Finance partnership with India Post Payments Bank
Through this partnership, IPPB will provide lead referral services to MMFSL for Passenger Vehicles, 3-Wheeler, Tractor, and Commercial Vehicle Loan categories and provide a cash EMI deposit facility to existing MMFSL Customers at Post Offices.

The pilot scheme will go live in IPPB branches in Maharashtra and Madhya Pradesh and then will spread across other states over the next 4-6 months.

This partnership will make IPPB one of the largest platforms for availing credit products. 

“The partnership with MMFSL is a milestone in IPPB's journey to becoming one of the largest platforms for availing credit products by our customers for meeting various needs, in line with our focus on providing comprehensive customer-centric, convenient and digital solutions to our customers,” J Venkatramu, MD & CEO, IPPB, said. 

This partnership will enable MMFSL to access the large set of IPPB’s network, “We are happy to collaborate with IPPB that will enable us to access the large set of IPPB’s network. The tie-up will also enable customers with financial security, empowerment, and ease of repayment,” Ramesh Iyer, Vice Chairman & Managing Director, of Mahindra Finance said.

Zee Business on partnership 
According to Zee Business Managing Editor, Anil Singhvi, this partnership will give a big advantage to MMFSL as it will enable them to have access across the nation without any cost as there are post offices across the country. This, he said, is a very positive news for MMFSL as it will help them enter the micro areas.