Chit fund sector gets tech-savvy with gold mine of big data at stake

Last week the Lok Sabha passed the Chit Funds (Amendment) Bill, 2019, amending the Chit Funds Act, 1982

With the chit fund sector now on a firm legal pedestal with recent passage of the Chit Funds (Amendment) Bill, 2019, the emerging fintech space surrounding chit finds is set to get a boost. At the heart of this growth is the quest for the gold mine of data hidden in sector, running into several million.

Over the last couple of years, several fintech players are already in the business of data analytics in the chit fund sector, providing services like credit bureau checks and facilitating loans for chit fund subscribers and companies. Also, with banks and non-banking finance companies