Mumbai, Oct 28 (PTI) Non-bank lender Mahindra Finance on Monday announced that it will be launching a co-branded credit card with RBL Bank.
Mahindra Finance said it has received the RBI nod for launching the offering. Managing Director and chief executive Raul Rebello said the offering will be designed to help meet its customers' aspirational needs.
The announcement comes amid heightened concerns about the credit card portfolios, and also regulatory attempts to disincentivise growth in such riskier assets.
A Mahindra group entity has 3.53 per cent "strategic" stake in RBL Bank which was bought for Rs 417 crore, while RBL Bank is attempting to decrease its reliance on Bajaj Finance to distribute credit cards.
Rebello said this will be a maiden co-branded credit card offering for Mahindra Finance and that there are significant synergies between the company and the bank.
"Our aim is to provide a one-stop solution that offers unmatched benefits across a wide range of categories," RBL Bank's executive director Rajeev Ahuja said.
Through the partnership, Mahindra Finance aims to tap into the growth potential, aligning with the adoption of e-commerce and technological advancements seen even in non-metro locations, a statement said.