Poonawalla Fincorp enters gold loan market, plans 400 new branches

Poonawalla Fincorp Ltd. has entered the gold loan market, aiming to broaden its secured lending options. This new product offers quick, transparent financing for various needs, with approvals promised in under 30 minutes. The company plans to open 400 branches in Tier 2 and 3 cities to tap into the growing demand, focusing on trust and customer service.

Poonawalla Fincorp Ltd (PFL), a non-banking financial company (NBFC) promoted by the Cyrus Poonawalla Group, has entered the gold loan segment, expanding its secured lending portfolio. The company announced the launch through an exchange filing on Tuesday.The new product aims to offer a secure, fast, and transparent financing option for individuals and businesses alike—addressing needs such as business expansion, agriculture-related costs, and personal expenses.

The loans will be disbursed with minimal paperwork and promise approval in less than 30 minutes, offering flexible repayment options, the filing said.“Our gold loan offering represents a natural progression in our secured lending portfolio, combining traditional value with modern convenience,” said Arvind Kapil, MD & CEO, Poonawalla Fincorp. “We have designed this product with the customer journey at its core, respecting both the emotional and financial value of gold.

”Gold remains a trusted source of liquidity for Indian households, particularly in times of financial stress. With the Indian gold loan market poised for strong growth, especially across semi-urban and rural areas, PFL is aiming to tap into this rising demand.To support the expansion, PFL plans to open 400 new branches across Tier 2 and Tier 3 cities over the next four quarters.

These branches will help deepen the company’s presence and provide access to credit in underpenetrated markets. The company has also brought in industry professionals to offer personalized services and enhance customer experience..