LightMoney

LightMoney is a mobile app from Light Micro Finance Private Limited (a leading NBFC-MFI) for its existing customers. The app allows Light’s existing customers to manage their loan accounts. The customers can get details about their existing loans, EMIs, and repayment schedules through the app after the loan disbursement.

Generation, processing, and disbursement of the loan happens offline (not through this app).

Number of installments are loan product specific. Most of the loan products are of 24 installments. Installments follow monthly frequency.

Loan Processing Fee (LPF) is charged at 2% of the total principal amount and an 18% GST on the calculated LPF. So, on a loan amount of INR 60,000 a customer would need to pay INR 1,200 as LPF and INR 216 as GST on LPF.

APR is 26% as of 21 Feb 2023 which works on a diminishing basis. Current monthly installment size for an INR 60,000 loan for a 2-year tenor is INR 3,300, with a breakup of INR 1,300 towards interest and INR 2,000 towards principal for the very first installment assuming a gap of 30 calendar days between the system disbursement date and the first repayment date. For the subsequent installments, the interest portion will decrease, and principal portion will increase.