Adhikosh and UPI : A match made in heaven

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Head of Growth

22 Jan 2024 — PRODUCT

Adhikosh and UPI : A match made in heaven title image

10% of the richest Indians hold almost 65% of wealth in India.

This number only seems to grow every year. With the working class all but forgotten, the average blue-collar worker’s picture looks bleak. Long work hours, minimum compensation, no job security and a terrible financial foundation, define the average Indian worker.

These workers are kept outside financial walls and do not even have access to basic financial products like loans. Adhikosh, founded in 2019, targets this segment of customers in tier 2 cities of India.

They focus on lending to factory workers, with loans ranging from 20,000 to 50,000 INR at an interest rate of 22%-32%. The company, having acquired an NBFC, operates in areas like Dehradun, Haridwar, and Jaipur. These are industrial clusters that have a large population of factory workers.

Being a company operating in the lending space, Adhikosh’s primary challenge was to streamline EMI collections efficiently. They were born in a post-UPI era and aimed to support only UPI and NACH payments to maintain suitable unit economics. Initially working with one of the large payment gateways, they faced hurdles like transaction caps for UPI Intent, low customisations, poor support and unreliable systems which impacted their operational efficiency.

Enter Setu.

Adhikosh’s choice to partner with Setu was influenced by Setu’s reputation in the fintech space. Some of the key factors that made us stand out for Adhikosh were:

  • On-point Documentation & Integration Support

  • The industry-high success rate of 98%

  • Proactive Downtime Communication

Adhikosh’s integration with Setu’s UPI stack brought about a significant improvement in their EMI collection process. This partnership not only enhanced operational efficiency but also offered a reliable, user-friendly payment experience for their customers. Adhikosh’s case illustrates the transformative power of the right fintech partner in addressing specific operational challenges. Setu’s UPI APIs provided a seamless, efficient, and scalable solution, aligning perfectly with Adhikosh’s vision and operational needs.

Setu’s on-point documentation simplified our integration process and ensured we could go live in just a few days. Also, the stability and predictability of Setu’s systems were significant, ensuring consistent operational flow.

— Aayush Goel, Co-founder - Product and Technology

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