Indel Money Limited Bonds

Indel Money Limited (IML) is a Kerala-based RBI-registered NBFC that has been operating since 1986. The company has issued secured, listed and redeemable Non-Convertible Debentures (NCDs) offering a yield-to-maturity (YTM) of 11.25%. To invest in this bond, the minimum investment required is Rs 10,000. The coupon rate of the bond is 9.75% p.a. with monthly interest payout. The credit rating of Indel Money Bonds is IND A-  (Stable) from India Ratings and Research.

Investors can purchase Indel Money Bonds through Paisabazaar app by following these steps:

• Step 1: Log in to the Paisabazaar app.
• Step 2: Under the ‘Investment Products’ section, click on the ‘Bond-SEBI Regulated’ tab 
• Step 3: Tap on ‘Complete KYC’, then verify your email address. 
• Step 4: Fill in personal information, bank details, and lastly e-sign.
• Step 5: Link your demat account
• Step 6: Buy Indel Money Bonds and earn a YTM of 11.25% p.a.

• Investors can earn a YTM of 11.25%p.a. by investing in Indel Money Bonds through the Paisabazaar app.
• These bonds are senior secured NCDs with 1.10x security cover and backed by hypothecated assets comprising present and future gold loan receivables and certain cash and bank balances.
• The bond offers a monthly interest payment option, providing investors with a regular interest income throughout the investment period.
• The bond is listed on the Bombay Stock Exchange (BSE), allowing investors to easily sell them in the secondary market, subject to market liquidity and applicable conditions.
• The bonds have been given a IND A- (Stable) rating by India Ratings and Research, indicating an adequate degree of safety regarding the timely servicing of financial obligations and carrying low credit risk. 

Indel Money Bonds have been assigned a credit rating of IND A- (Stable) by India Ratings and Research. Securities with this rating are considered to have an adequate degree of safety regarding timely servicing of financial obligations and carrying a low credit risk. The ratings reflect India Ratings and Research’s expectation of sustained growth in Indel Money Limited’s operations over the medium term, supported by adequate internal accruals.

Credit Strengths

According to the India Ratings & Research report, Indel Money Limited's credit profile is supported by several key factors

• It has an established track record of promoter support, demonstrating promoters’ commitment to business.
• It also has developed a well-established franchise and has maintained a steady growth.
• The company also has experienced promoters and a management team.
• The company has also maintained a stable asset quality.
• The company has also demonstrated stable profitability.

Credit Challenges

According to India Ratings & Research, the company still needs to diversify its funding profile while also reducing its overall borrowing costs.

The following points makes investing in Indel Money Bonds safe:

• Indel Money Limited is an RBI-registered NBFC.
• Indel Money Bonds are senior secured NCDs, i.e., bondholders have a legal claim on the company’s underlying assets.
• The bonds have been assigned an IND A- (Stable) rating by India Ratings & Research. This indicates an adequate degree of safety regarding the timely servicing of financial obligations.
• The promoters and senior management of the company possess 15-30 years of experience in financial services.

Investors can redeem Indel Money Bonds by holding them until the maturity date. Since the bonds are listed on the Bombay Stock Exchange (BSE), investors may also choose to sell them in the secondary market before its maturity date. 

Indel Money Limited is an RBI-registered NBFC-ICC that has been operating since 1986. The company is primarily engaged in loan against gold jewellery, while it also provides personal loan and business loan, focusing on customers of Tier 2 and Tier 3 cities.  As of December 2025, the company operates through 366 branches across the country.

Key Financial Indicators

All ratios as per India Ratings and Research.

Financial Covenants 

Brief Details of the Management of the Company

General Risks

Investing in Indel Money Bonds carries certain risks that investors should carefully consider. Some of them are:

• Credit Risk & Rating Downgrade Risk: Indel Money bond is rated IND A- (Stable) by India Ratings & Research. In the event of deterioration of the financial health of the issuer, the rating can be downgraded.
• Issuer Risk:  The company has a strong presence in the gold loan segment, with approximately 95% of its AUM concentrated in gold loans, which could reduce collateral coverage and increase auction requirements.
• Interest Rate Risk: Changes in interest rates can affect the market price of Indel Money Bonds.
• Regulatory Risks: Any changes in RBI regulations, future government policies, laws and regulatory guidelines may adversely affect the Debentures.

Specific Risks

• The portfolio of Indel Money Limited is concentrated in South India, which accounts for nearly 66% of its AUM as of 30 September 2025, while it is gradually expanding into non-southern markets.
• The company's debt-to-equity levels remain elevated as it continues to expand its operations. This may increase financial risk and affect the company's ability to meet its debt obligations.
• Handling significant cash volumes at rural branches increases the risk of fraud, theft and cash management-related losses, which may adversely affect the issuer's operations and financial performance.