Gold prices always seem to be skyrocketing. While Covid-19 shook the world and resulted in more job losses than ever, more people in India turned to the idea of taking loans against their physical gold. But the questions that many had to face were:
- Will I get the right amount of loan and interest?
- Will my gold remain safe?
- Is the lender credible enough?
Ruptok, an Indian fintech startup, provides all the solutions related to your gold loans at your doorstep.
Ruptok Fintech Pvt. Ltd. is technology enabled platform for financial institutions offering logistics and technology solutions for gold loans at competitive prices. Headquartered in Delhi, the company was founded in July 2020 by Ankur Gupta, serial entrepreneur & Founder and CEO; Akshita Gupta, serial entrepreneur & Co-founder, and Yashwardhan Aeren, Co-founder and Chief Growth Officer. Ruptok is backed by ABL Workspaces Private Limited, a premium co-working space.
Ruptok has an interesting business model of providing doorstep delivery of loans to customers on behalf of its partners, which are the asset backed lending institutions (banks and NBFCs). The company charges a commission for its services. During the Covid lockdown period of 2020, the founders did an evaluation of this industry and came up with an action plan. Their findings indicated the huge demand for gold loans, and so Ruptok kickstarted their operations with flexible schemes of gold loans suiting every type of customer.
As soon as the startup launched in New Delhi, they were overloaded with customer requests, and they had to quickly adapt their operations and processes to resolve these requests. Also, they required funds to expand their operations to other Indian cities. Ruptok recently raised Angel Funding of USD 1.4 Million from Wurk, a Canada based Investment Firm, to facilitate their operations and growth.
The Unique Selling Proposition of Ruptok is that it offers technology and logistics solutions to its partners, creating a win-win situation. The customers’ benefit is that they get the entire processing of their KYC and jewelry evaluation done by a Ruptok executive within 30 minutes, from the comfort of their homes.
The startup received good response from customers due to their flexible repayment offerings and prompt customer service. Currently, the company is at a capacity of processing loans worth Rs. 1 crore every week and are increasing this capacity exponentially. Ruptok’s digital marketing efforts in understanding their target market have paid off and they are on the road to macro level marketing and branding. The startup has recently acquired Mumbai-based Golduno in an all-stock deal to expand its reach. Ruptok is on the list of 30 Startups to Watch in May 2021’s edition of Inc42 Media.
The overall gold loan market in India is estimated to be worth over Rs. 4 lakh crores and growing exponentially. The industry is ready to be disrupted by digital players who have the capacity to penetrate the remote parts of the country and offer flexible solutions to the low-income segment to get out of their poverty.