Mahindra & Mahindra Financial Services Limited

Mahindra & Mahindra Financial Services Limited
महिन्द्रा एंड महिन्द्रा फायनांशियल सर्विसेस लिमिटेड
Public company
Traded as NSEM&MFIN
Industry NBFC
Founded 1991
Headquarters Mumbai, Maharashtra, India
Area served
Key people
Ramesh Iyer, MD
Products Financial services
Revenue Increase49,530 million (FY'14)[1]
Total assets Increase 31,665.72 million (FY'14)
Total equity Increase 1,127.1 million (FY'14)
Number of employees
15,000+ (FY'14)
Parent Mahindra & Mahindra
Subsidiaries Mahindra Insurance Brokers Limited
Mahindra Rural Housing Finance

Mahindra & Mahindra Financial Services Limited (MMFSL) is one of India’s leading Rural NBFC headquartered in Mumbai, India.[2] It is amongst the top tractor financer in India and offers a wide range of financial products to address varied customer requirements.[3] The NBFC has 1000+ offices spread across 1 in every 3 villages across India with a total of more than 3 Million customers till date.


The Mahindra Finance journey started on January 1, 1991, as Maxi Motors Financial Services Limited.[4] They received the certificate of commencement of business on February 19, 1991. On November 3, 1992, Mahindra Finance changed their name to Mahindra & Mahindra Financial Services Limited.[5] Mahindra Finance is registered with the Reserve Bank of India as an asset finance, deposit taking NBFC.

In 1993 it commenced financing M & M Utility vehicles and in 1995 started its first branch outside Mumbai, in Jaipur. Began financing Non M & M vehicles in 2002 and got into the business of financing of Commercial Vehicles and Construction Equipments in 2009. 2011 was the year in which they had a Joint Venture with Rabobank subsidiary for tractor financing in USA and consolidated the product portfolio by introducing Small and Medium Enterprises (SME) financing.[6]

Corporate Affairs

The company is primarily run by the following:[7]

  • Mr. Ramesh Iyer

Managing Director

  • Mr. V. Ravi

Chief Financial Officer

  • Mr. Vinay Deshpande

Chief People Officer

  • Mr. R. Balaji

Vice President - Marketing & Strategy

  • Mr. Anuj Mehra


  • CA. Dharmesh Vakharia


  • Dr. Jaideep Devare

Managing Director, MIBL

  • Mr. Rajnish Agarwal

Vice President - Operations

  • Mr. Rajesh Vasudevan

Vice President - Finance & Accounts

Products and Services

Vehicle Financing

Vehicle Financing: Auto and utility vehicles, tractors, cars, commercial vehicles and construction equipment Pre-owned vehiclancing: Loans for pre-owned cars, multi-utility vehicles, tractors and commercial vehicle

SME Financing

Loans for varied purposes like project finance, equipment finance and working capital finance.[8]

Housing Finance

Loans for buying, renovating, extending and improving homes in rural and semi-urban India through our subsidiary Mahindra Rural Housing Finance Limited

Personal Loans

Offers personal loans working capital

Insurance Broking

Insurance solutions to retail customers as well as corporations through our subsidiary Mahindra Insurance Brokers Limited

Mutual Fund distribution

Advises clients on investing money through AMFI certified professionals under the brand Mahindra Finance Finsmart[9]

Fixed Deposits

The MMFSL Fixed Deposit has a CRISIL rating of 'FAAA', indicating a high level of safety.[10]


Mahindra Insurance Brokers Limited

In FY 2012-13, the insurance broking subsidiary, Mahindra Insurance Brokers Limited (MIBL) crossed the 8,00,000 mark in terms of the policies served. The Company’s total policies, at the end of 2012-13, stood at 8,39,408 for both life and non-life retail business lines. It reached a total of Rs. 600 Crores gross premium. The income increased by 85 per cent from Rs. 46.6 Crores in 2011-12 to Rs. 86.3 Crores in 2012-13. During the year, MIBL entered into a strategic partnership with LeapFrog Investments, world’s largest investor in insurance for the underserved.[11] Through its subsidiary company, Inclusion Resources Private Limited, LeapFrog invested Rs. 80.4 Crores for a 15 per cent shareholding in MIBL.

Mahindra Rural Housing Finance Limited

In FY 2012-13, Mahindra Rural Housing Finance Limited (MRHFL) disbursed loans aggregating to Rs. 432.9 Crores, up from Rs. 266.8 Crores in the previous year. The profit after tax for 2012-13 stood at Rs. 20.3 Crores, against Rs. 11.9 Crores in the previous year. The outstanding loan portfolio, as on 31 March 2013, stood at Rs. 879.5 Crores.[12]

Mahindra Business and Consulting Services Private Limited

Mahindra Finance’s wholly owned subsidiary, Mahindra Business & Consulting Services Private Limited (MBCSPL), provides staffing services primarily to Mahindra Finance. It also serves the subsidiaries (MIBL and MRHFL) and parent company (Mahindra & Mahindra Limited). During the year, MBCSPL deputed 8,098 employees to these companies. The Profit after Tax increased from Rs. 7.1 Lacs in 2011-12 to Rs. 173.8 Lacs in 2012-13.[13]


Mahindra Finance has faced a lot of criticism from consumers for the behaviour of their staff with it's customers. The company has never taken any step to clear the troubles customers have to go through after choosing them to do business with. This maybe due to the fact that the company relies on revenues from rural, uneducated customers buying tractors and commercial vehicles financed by Mahindra Finance. These customers are easier to bully and also in most cases never stand up for their rights. In rare scenarios when someone applies for a car loan or similar products they have to go through the harsh reality where the staff of Mahindra Finance act like trained goondas.

There was this instance in Villupuram, Tamilnadu where a staff named Mr.Sakthivel Murugan had delayed a car loan which was approved by his office 30 days back and made the customer run from pillar to post when there was just 2 days remaining for the customer's marriage.[14] All this harassment to the customer was because the customer told him not to share his CIBIL scores with his car dealer as he had already done. He had also verbally abused the customer 48 hours prior to his marriage on the phone. The customer had filed a police complaint against Mr.Sakthivel Murugan. Even after this, the employee still remains a part of Mahindra Finance. Maybe they don't want to let him go as he is a very skilled employee who knows to treat customers applying for car loans as beggars.

To top this all, the branch manager of Villupuram (Mr.Sivaprakasm) had threatened the customer that he will personally stop the loan and challenged the customer to do whatever he can after his staff abused the customer. But within the next 5 minutes the branch manager apologised for his behaviour and approved the loan as the customer had sent call recordings to the zonal manager (Mr.Shiv Kumar) where the manager and the staff had tormented the customer. Till date there is no response from the company for the emails sent about this issue.

Likewise there are a lot of complaints about the way they work by aggrieved customers. Unless they pay heed to their customers woes, they don't have a chance to cater to urban or A,B class consumers who command respect above all. There are a lot of financial instituitions which compete against each other to get customers and Mahindra Finance sure is losing the race. It's time to wake up.

Social Initiatives

Mahindra Finance has engaged in various social initiatives to provide people with education, healthcare facilities and reduce environmental footprint. Some of the initiatives include:

Lifeline Express

The Lifeline Express is a mobile hospital run on a train with five railway coaches. The coaches are equipped with updated medical and surgical facilities to provide free, on-the-spot diagnosis and treatment. It addresses the medical requirements of inhabitants from India’s remote, rural corners that have scarce medical facilities. About 2,500 patients suffering from disabilities like cleft lip, deafness, polio (for children under 14 years) and cataract are treated on board. Mahindra Finance conducted its first ever solo journey of the Lifeline Express at Puri (Odisha) from 24 September to 14 October 2012.[15]

Mahindra Hariyali

Mahindra Hariyali is the tree plantation model at Mahindra Group. Mahindra Finance partnered with schools, colleges, trusts, Government’s Forest Departments and old age homes to spread our green agenda. They planted around 54,000 saplings across India. To protect the environment, Mahindra Finance undertook various initiatives. By focusing on optimum natural resource usage and reducing Greenhouse Gas emission. Mahindra Finance has controlled consumptions of electricity, water and paper significantly. They have also installed solar panels at various remote branches.[16]

Other Social Initiatives

Mahindra Finance organized Blood Donation camps in 2012-13 and collected 1,085 bottles of blood. This activity was a part of their banner of Employee Social Options (ESOPS) along with various other social projects. They also donated funds to various NGOs thus helping them in their purpose of buying ambulances.[17]

Awards & Recognitions

  • BITS – Winner of Nasscom IT User Awards, 2012 Organised by NASSCOM[18]
  • Ranked 14th in the Dream Companies to Work for Awards Organised by UTV Bloomberg World HRD Congress 2012[19]
  • Winner of Golden Peacock HR Excellence Awards Organised by Institute of Directors[20]
  • Silver Award for Best Corporate Website Organised by ABCI Awards in 2012 ( Association of Business Communicators of India)[21]
  • Ranked 5th in the Financial Services Sector and among the Top 50 companies having over 1,000 employees by Great Place to Work Institute[22]
  • Silver Award for Best Corporate Website [23]
  • Ranked 10th in the prestigious Dun & Bradstreet's India's Top 500 Companies 2012[24]


  1. ^ "Mahindra & Mahindra Financial Services Ltd. Yearly Result". The Economic Times. Retrieved 21 July 2014. 
  2. ^ "Mahindra & Mahindra Financial Services Overview" (PDF). LSE Securities. Retrieved 6 August 2013. 
  3. ^ "You can buy non-banking finance companies stocks this time". NSE BSE Technical Analysis. Retrieved 6 August 2013. 
  4. ^ "Mahindra & Mahindra Financial Services Ltd.". The Economic Times. Retrieved 6 August 2013. 
  5. ^ "About Mahindra & Mahindra Financial Services Ltd l M&MFIN Company History". Edelweiss. Retrieved 6 August 2013. 
  6. ^ "Mahindra & Mahindra Financial Services Ltd.". NDTV Profit. Retrieved 14 August 2013. 
  7. ^ "Company Profile". Reuters. Retrieved 14 August 2013. 
  8. ^ "Mahindra Finance To Venture Into Small Biz Lending". Newswire. Retrieved 6 August 2013. 
  9. ^ "Mahindra Finance to venture into small business lending". The Hindu Business Line. 27 April 2013. Retrieved 6 August 2013. 
  10. ^ "Mahindra Finance FD – High returns of 12.21% p.a. – How far this is true?". My Investment Ideas. Retrieved 6 August 2013. 
  11. ^ "Mahindra & Mahindra Group takes a giant stride with LeapFrog deal". The Economic Times. 21 September 2012. Retrieved 6 August 2013. 
  12. ^ "Company Overview of Mahindra Rural Housing Finance Ltd.". Businessweek. Retrieved 6 August 2013. 
  13. ^ "Company Overview of Mahindra Business & Consulting Services Private Limited". Businessweek. Retrieved 6 August 2013. 
  14. ^ []
  15. ^ "Mahindra Finance all set to bring Impact India's Lifeline Express to Puri". Orissa Diary. Retrieved 6 August 2013. 
  16. ^ "Mahindra renews its commitment to society". Money Control. Retrieved 6 August 2013. 
  17. ^ "Mahindra & Mahindra Financial Services Ltd.". CSR Identity. Retrieved 14 August 2013. 
  18. ^ "Nasscom Winner". Nasscom. Retrieved 6 August 2013. 
  19. ^ Award Winners.html "Bloomberg Award Winners". World HRD Congress. Retrieved 6 August 2013. 
  20. ^ "Golden Peacock HR Excellence Awards". Golden Peacock. Retrieved 6 August 2013. 
  21. ^ "ABCI Award Winners 2012". ABCI. Retrieved 6 August 2013. 
  22. ^ "Industry Wise Winners - 2012". Great Place to Work. Retrieved 14 August 2013. 
  23. ^ "52nd Annual Award Winners". Association of Business Communicators of India. Retrieved 14 August 2013. 
  24. ^ "Winners". DNB. Retrieved 14 August 2013. 

External links