Poonawalla Fincorp launches AI-powered underwriting solution

Poonawalla Fincorp Limited (PFL), a Cyrus Poonawalla Group NBFC, today unveiled an AI-powered underwriting solution developed in collaboration with IIT Bombay. The system integrates artificial intelligence with human expertise to streamline credit evaluation and accelerate decision-making.

The shares of Poonawalla Fincorp Limited (PFL) were trading at ₹349 up by ₹14.20 or 4.24 per cent on the NSE today at 11.02 am.

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The solution combines Large Language Models and Machine Learning to create an automated credit decisioning system while maintaining human oversight. PFL expects the technology to boost credit managers’ productivity by 40 per cent in retail lending.

“At Poonawalla Fincorp we fully respect and understand the transformative impact of AI in reshaping the credit landscape,” said Arvind Kapil, Managing Director & CEO of Poonawalla Fincorp.

Dr. Pushpak Bhattacharyya from IIT Bombay noted that the collaboration demonstrates how industry-academia partnerships can address real-world business challenges.

PFL plans to enhance the current AI functionality to a self-learning model with deep learning algorithms for autonomous decision-making and continuous system improvement.

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The company, headquartered in Pune, operates across 18 states and 2 Union Territories with an AUM of ₹30,984 crore as of December 31, 2024. PFL offers various financial services including pre-owned car finance, personal loans, consumer loans, and business loans.