Chinese tech giant Xiaomi began venturing deeper into the financial sphere earlier this year when it initially launched the Mi Credit pilot in India. Now, it looks like the company is re-launching the service as it moves out of beta.
In a tweet by Xiaomi’s Mi Money Twitter account, the company calls the service “a curated marketplace for lenders.” Xiaomi claims Mi Credit is 100% digital, and it promises a short application process, high acceptance, low interest, free credit checks, and encrypted user data.
Here’s introducing #MiCredit a curated marketplace for lenders.– 100% Digital
– Apply for loan in 5 minutes
– High success rate, higher loan amount, low interest rate
– Free Credit Score
– Encrypted data locally stored— Mi Money (@MoneyWithMi) December 3, 2019
To no one’s surprise, Xiaomi Mi Credit’s target audience is Indian Millennials. The company is working with several lending partners to make the service possible, offering loans between Rs. 5,000 (~$70) and Rs. 100,000 (~$1,400).
This isn’t the only time this year a tech company of Xiaomi’s magnitude has further branched out into the financial industry. Both Apple and Google also recently took similar leaps in the form of a credit card and checking account, respectively.
Xiaomi’s Mi Credit financial tech initiative launches right between the two American behemoths’ endeavors. Apple made its credit card available earlier this year, while Google will launch its checking account next year.
All three services cater to different needs in different markets, so they don’t directly compete with one another. But it does make you wonder what other tech companies will make similar business moves in the coming months and years. Only time will tell.