MoneyTap, one of India’s leading fintech companies has launched its second and latest app, titled Fit.Credit out of their product innovation cell – MoneyTap Labs. The app will help people get their credit report free of charge and monitor & track changes in their credit history. It will also provide insightful tips to improve your credit score.
The first step towards improving your credit score is finding out what it is. Credit providers usually look for your repayment history, amounts owed, length of credit history, credit mix and new credits issued. A not so great credit score is in the range of 300-550, and a good credit score is considered to be in the range of 650 – 750 and above. Fit.Credit helps an individual with suggestions and recommendations to improve their credit score.
There is a generational shift that has happened and millennials & GenZ have started utilizing credit a lot more. Earlier, buying a house or a car was the primary goal for which people seeking credit. But slowly for many young people, planning their travel and other daily or weekly spending has started taking precedence, they are more open now than ever before to using credit options to fund these expenses.
This is where Fit.Credit, one of the new products launched by MoneyTap Labs comes in. It will not only help people build a stronger credit score but will also help them secure low-interest rates while opting for their first loan, whenever they choose to opt for one.
The differentiating factors in the app also includes providing this report free of cost when otherwise, users might have had to spend upto Rs.500-1000 for a detailed Credit Report. The experience of the app has been designed in such a manner that seemingly difficult content around credit is made simple and easy to understand even for those who might not understand financial terminology.
MoneyTap Labs is a recently launched initiative by MoneyTap. It is a small lean team that focuses on experimenting and launching transformative fintech products. The vision of MoneyTap Labs is to build fintech products that go beyond just providing transactional value. These products will help people become more financially aware and provide them with the information they need to make smarter financial decisions.
Ashutosh Dabral, Chief Product Officer, MoneyTap commented, “People today are keen to understand their finances and plan their life better. But, there are a huge number of people who do not know the myriad factors that affect their scores and how it impacts their chances of getting credit in the future.
Our research with our users showed us that there was a gap in understanding credit scores – and where this product could fulfil their needs. For e.g. People were not aware that when someone utilizes a higher percentage of their total credit limit, it has a negative impact on their credit score. When looking for a credit product applying to multiple lenders at the same time, or too many credit report inquiries at the same time may also impact your credit score.”
“We are educating users why it is important to keep a regular track of their credit score, and then how they can improve it. The Fit. Credit app will answer people’s questions and help take the mystery out of credit scores. The aim is to enrich people’s financial lives through transparency, simplicity, and certainty.”
Key Features of App
Users will also get customized, realistic recommendations on how to build and improve their credit score. They will get tips to figure out if there was any fraudulent activity done in their name. For e.g., If someone applied for a loan or a credit card using their details.
Many users have taken credit products in the past which they think have been cancelled/closed but the lender may not have closed it. There could also be mistakes in their credit report. For all these scenarios the product will give them steps and a customized plan to address these issues.
Many people find it challenging to remember the payment dates for all their credit card bills and EMIs. The app has a feature that reminds people to pay their credit card bills and EMIs on time.
MoneyTap Labs is continuing with its aim to support people in their journey of financial wellness. With this aim in mind, the Fit.Credit App provides educational content in various ways (articles, bite-sized content, videos, podcasts) in a curated format.
Dhaarini Vijay, Senior Product Manager, MoneyTap Labs says, “Fit.Credit goes beyond just the functional value of what your credit score is and how it has changed. It will also help people understand their credit scores better. More importantly, it will create more value and awareness by making them feel better about their financial situation. Many users may not be able to make quick changes but we want to give them a long-term path towards financial wellness.”