- Pravin Jadhav, founder and CEO of Raise Financial Services, applied for a home loan but was rejected by a top private bank, which classified him as a high-risk borrower due to his status as a founder.
- Jadhav expressed his frustration on social media, stating, “Founder's life is hard! My home loan application got rejected by a top private bank – just because I am a founder.”
- Despite being a co-founder of a $1.2 billion fintech startup, Jadhav was still viewed as a risky borrower by the bank.
- Jadhav has been a customer of the bank for over 25 years and claims to be among its top 0.1% customers in terms of assets.
- The total value of his relationship with the bank is nearly five to six times higher than the loan amount he applied for.
- Jadhav's CIBIL score exceeds 800, yet the bank still rejected his application.
- Ironically, the same bank had previously recognized Jadhav as a top innovator in the fintech industry.
- In a humorous twist, Jadhav noted that the bank was willing to extend home loans to his employees but not to him, stating, “They can give loan to team members our company employs, but not me – because as founder I’m high risk category.”
- Jadhav's post on social media sparked significant discussion, collecting over 35,000 views in a day.
Pravin Jadhav, founder and CEO of Raise Financial Services, took to social media to express his frustration after a top private bank rejected his home loan application, citing his status as a founder as a reason for being classified as a 'high-risk' borrower.1
Jadhav, whose company is valued at $1.2 billion, noted that he has been a loyal customer of the bank for over 25 years and believes he ranks among its top 0.1% of customers in terms of assets. He stated, “5x-6x of loan value in relationship with this bank,” highlighting the irony that the same bank had previously recognized him as a top fintech innovator.34
Despite his impressive CIBIL score exceeding 800, the bank's decision left him bemused. He humorously remarked, “They can give loan to team members our company employs, but not me – because as founder I’m high risk category.” His post on X (formerly Twitter) garnered over 35,000 views in a day, resonating with many who shared similar experiences.689
Another user, Abhilasha Purwar, echoed Jadhav's sentiments, recounting her own struggles with securing a loan as a founder, stating, “Banks understand salary risk better than founder risk, even when the numbers disagree.” This incident underscores the challenges faced by entrepreneurs in securing financial support despite their success.
“Pravin Jadhav, founder of Raise Financial Services, said his CIBIL score exceeds 800 and his total relationship with the bank is nearly 5-6 times the loan amount, yet the bank still classified founders as high-risk. The post has garnered over 35,000 views on X, with many users sharing similar experiences of being denied loans as founders.”
News18
