·        Can provide loans and credit facilities

·        Can trade in money market instruments

·        Can do wealth management such as managing portfolios of stocks and shares

·        Can underwrite stock and shares and other obligations

·        NBFCs are the last resorts of borrowing; NBFCs are there where banks are not there

·        NBFCs are the largest propellants of ushering finance into the country

·        Agility is very important for NBFCs as it sets the banks apart. Banks function slower as compared to the NBFCs

·        The use of modern methods by NBFCs has overcome key challenges that had overwhelmed conventional lending. NBFCS have made great use of technological advancements like the use of mobile phones and the internet which has helped in making information easily accessible anytime anywhere. It has reduced the demand and reliance on bank branches

·        Technology is not only at the head of banking and financial services, but also an increasingly digitized India has underpinned the rise of NBFCs. Digitalization has given NBFCs the ability to present multiple choices and reach the larger audience at quicker pace. This indirectly gives rise to larger NBFCs

·        Combination of partnership and database helps in increasing penetration of financial inclusion. To reach large numbers of customers successfully, and minimize risks, NBFCs have forged partnerships including the government to use their database and identify customer worthiness. Thus lending has been productive

      Another major advantage of NBFCs is the ground level understanding of their customers profile and the need for their credit, which gives them an edge, as their ability to customize their products according to client needs