Delhi-based financial technology platform IndiaLends has raised $4 million (Rs 26.6 crore) in Series A round of funding led by American Express Ventures, the corporate venture investment arm of American Express Co., according to a press release.
The round also saw participation from existing investors including venture capital firm DSG Consumer Partners, Chinese investment firm Cyber Carrier and AdvantEdge Partners.
The funds will be used by IndiaLends to expand its credit underwriting and analytics capabilities, offer more consumer-focussed products and increase market footprint across India, the release added.
“We have witnessed strong traction in the past year with our loan volumes growing 100% quarter-on-quarter. We have partnered with over 30 banks and Non-Banking Financial Companies (NBFCs) and now offer bespoke lending products in segments that have been historically underserved,” said Gaurav Chopra, founder, IndiaLends.
“This new round of funding not only gives us the capital to scale exponentially but also provides us access to resources and learnings from developed fin-tech markets such as the U.S. and China,” he added.
Started in March 2015 by ex-Capital One duo Chopra and Mayank Kachhwaha, IndiaLends is a credit scoring and analytics platform focused on disrupting the fragmented consumer lending market in the country. The company operates an online marketplace that allows consumers to shop for loan products, as well as access credit scores and financial education.
The platform currently claims to attract over 140,000 visitors every month, and helps them to more quickly get access to cheaper credit. It also provides credit scoring solutions to financial institutions to help them increase their lending footprint.
“IndiaLends’ platform is helping to connect lenders and borrowers in India more efficiently by providing a user-friendly experience for consumers and leveraging a broader set of data than has traditionally been available to financial institutions in the market,” said Rohit Bodas, Partner at American Express Ventures.
This is American Express Ventures’ second investment in India this year. The VC firm had invested Rs 35 crore in personal assistant platform Tapzo in September. The firm has backed Bengaluru-based cloud software solutions provider Capillary Technologies and artificial intelligence chatbot shopping app Mezi in the past.