PCCL global ecosystem: a method to alleviate the lives of the 1.3 billion poor people &the 2.4 billion unbanked people — Part 2

By Indrachapa S

The PCCL global ecosystem is quite centred on the PCCL app since the app acts as the ground or the platform which provides entry or access to the ecosystem. The app is accessible through mobile devices, mostly smart phones. It is a good indication of the up-to-date style PCCL shares with technology. The block chain powered application is accessible through the biometric + unique ID which will be provided to the target audience by PCCL. Suitable customers will be selected through KYC (Know Your Customer) procedures using big data to investigate on the repayment capacity competently as a strategy to reduce poverty since low repayment capacity means a compilation of debt.

Once accessed, customers are presented two different categories to apply to: products and services.

PCCL offers digital lending, P2P lending and green lending as its products.

Digital lending includes micro loans and SM loans. Micro and small enterprises are an essential driver of innovation, job creation and socioeconomic development in all parts of the world. As it is deeply embedded in the working community, they make up the crucial social composition and generates a development which is prone to sustainability. However, the limited access to financial services is often a barrier to the progress of micro and small enterprises. According to World Bank reports, about 200 to 245 million out of the 400 million MSME’s catalogued in developing countries suffer from poor access to credit facilities.

Digital lending in the PCCL ecosystem mainly targets financially deficit entrepreneurs. With various movements focused on entrepreneurship promotion and development showing efficacious results in the past decades in areas such as North East India efforts to facilitate and support the emergence of entrepreneurs to setup stable enterprises in small sector is truly valuable. A smart move in digital lending is that loans are applicable online making it instantly possible and accessible which is accustomed to the globalized world today. Loan approval is completed online and is based on a scoring algorithm unique to PCCL. Loan approval does not require any collateral procedures or a credit history. It only takes 10 seconds to approve a loan which is conservative in terms of time conservation and wise allocation of time. Money/crypto currency delivery follows a 15 minute time gap subsequent to loan approval. The average loan amount of MSME loans is a precisely US $ 50 — US $ 3000 with a loan tenor of 14 days to 180 days.

The PCCL ecosystem also permits P2P lending within its platform. P2P is a sub-category within digital lending similar to SME loans & micro loans. Unlike traditional lending, P2P lending is quite beneficial and unique. P2P lending is an alternative form of lending eliminates the middle-man — the traditional banking industry- offering end to end loan solution’s to both the borrowers and lenders which is quite secure. P2P lending offered by the PCCL ecosystem involves a simple application process, quick funding and transparent fees which are advantageous for the P2P borrowers. It also possesses a diversified spread risk, has the potential for consistent risks and gives the lender the autonomy to choose to lend to which are all beneficial for the lenders during P2P. PCCL’s enabled P2P lending through the block chain is achieved through digital lending platforms with algorithms, extensive data collection and real time risk score assessments of borrowers which are executed through three precise models of P2P lending solely designed and implemented by PCCL.

Mentioned below is a representative illustration of the three P2P models:

Green lending, as the name suggests, intends to use loans as a method to make initiatives in protecting the planet while making profits and enhancing the community. It is done in alignment with triple bottom line and sustainable micro finance. In green lending, credit is only lent to businesses whose conduct guarantee a reduction in the planets current ecological and environment state. These includes renewable energy based businesses- solar, biogas, hydro- , organic pesticide/fertilizer production businesses, organic plantations etc.