Empowering Lives: UdChalo Gives Wings of Security To 'Fauji Families'

In the dynamic landscape of Indian startups, there is a notable trend of diversification across sectors, from technology to defense. Amidst this, Pune-based startup Ud-Chalo is pioneering a distinctive initiative to bring financial relief to Fauji Families. By extending their services from air travel ticketing to offering low-interest loans, Ud-Chalo will make a significant impact on the lives of defense personnel and their families, providing a much-needed financial lifeline during emergencies and beyond.

Ud-Chalo has a user base of 32 lakh, predominantly comprising defense personnel, out of which 3-4 lakh users have transitioned to the financial services platform named 'Fauji Family.' This platform is designed to cater to the specific financial needs of defense personnel, providing them with a range of services beyond just loans.

How Ud-Chalo addresses High-Interest Loan Challenges in Villages?

Ud-Chalo is transforming the landscape of financial services for Indian defense personnel. From its roots as an air travel ticketing platform catering to defense personnel, the startup is now venturing into the realm of financial services with fintech Non-Banking Financial Companies (NBFCs). The initiative aims to provide hassle-free and fast loans to defense personnel at significantly lower interest rates, addressing a critical need in the community.

In rural areas, defense personnel, also known as Fauji's, often resort to taking loans from local moneylenders at exorbitant interest rates ranging from 36% to 40%. Ud-Chalo, with its unique approach, collaborates with lending partners to offer loans at comparatively lower interest rates of 18% to 20%. Ravi Kumar, the founder of Ud-Chalo, emphasizes that the loan product is recommended to users only if they currently hold a loan with a higher interest rate.

Touching The Lives of Fauji Family

Havildar Dinesh Singh Tomar, recounting a critical medical emergency in his family, highlighted Ud-Chalo's prompt assistance in providing a loan without complications or delays. The startup's immediate response during his time of dire need was invaluable, according to Tomar.

He said, “udChalo came to my aid, providing a loan without any complications or delays. Their immediate response during my time of dire need was helpful.”

Diversification into Mutual Funds and Insurance

Founded in 2012 by Ravi Kumar, Ud-Chalo has evolved beyond its initial scope. The company is gearing up to offer mutual funds and insurance products to its user base, further expanding its financial services portfolio.

“Typically, many defence personnel take loans from moneylenders in their villages at a staggering 36% to 40%. Our lending partners offer loans at comparatively lower interest rate of 18% to 20%.

We recommend the loan product to our users only if they have an existing loan at a higher interest rate,” said Ravi Kumar.

Contributions to Real Estate Investment Opportunities

Ud-Chalo has also taken a unique approach to investment opportunities for defense personnel by collaborating with real estate developers. The startup facilitates the development of townships at discounted rates, allowing investing defense officials to rent out the properties during their service or reside there post-retirement. The company has successfully executed projects in various cities, including Jaipur, Chandigarh, Noida, Chennai, and at least five projects in Pune.

Ud-Chalo continues to innovate and expand its services, has a positive impact startups on the lives of defense personnel, providing them with essential financial support and opportunities for a secure future.

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