Uni is an extension of the Buy Now Pay Later (BNPL) phenomenon that has given rise to an accelerated pace of consumer lending businesses in India. Uni is a card startup that enables users to split their payments into three parts so that they can pay it over a period of three months without any additional charges. It is for a user base that seeks
small loans that do not immediately start accruing interest. This new consumer loan startup, is helping borrowers to split their repayments into three parts, without attracting any additional debt in the form of interest rates while they are repaying conveniently over the course of three months.
Uni has been founded by Nitin Gupta who is the Co-founder of PayU and Prateek Jindal who has formerly been CEO of Ola Financial Services. ‘Pay Later’ loans are available to borrowers via a Uni Card, which they can swipe at PoS terminals.
If the customers pay back on time, they get a 1 percent reward. However, if there is a cash crunch, they can simply give up that 1 percent cashback reward and pay up the amount over a period of three months, at no extra cost. This way borrowers are getting rewards for paying on time, and also not getting penalised if they are not able to do so.