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CreditMantri expects to raise USD 20 million in 2018

The company, which disclosed that it has seen a five-fold increase in revenue this year, has been rapidly gaining out of the loan books of fintech lenders that target small companies.

Published: 07th May 2018 05:38 AM  |   Last Updated: 07th May 2018 05:38 AM   |  A+A-

Image used for representational purpose only. (File photo| EPS)

Express News Service

CHENNAI: CreditMantri, a start-up that helps banks, NBFCs and fintech lenders make credit decisions by profiling borrowers via a credit score, said it would look at raising $15 million to $20 million this year to fund its growth target of a six-fold revenue increase and reaching five million customers through its service.

The company, which disclosed that it has seen a five-fold increase in revenue this year, has been rapidly gaining out of the loan books of fintech lenders that target small companies and retail customers who are slowly emerging into the formal credit market.

“If a digital lender wants to lend money to say, a group of nurses from a small hospital in a tier-II or tier-III city, they might not have a proper salary slip, they wouldn’t have a track record of their expenses, and if they hold any debt in the informal credit system, it would nearly be impossible for the lender to know about the creditworthiness of the borrowers,” said Ranjit Punja, co-founder and CEO, CreditMantri.

“Such retail borrowers would also find it extremely difficult to get loans approved by the formal credit market. This is where we come in, we track customer-approved financial data, say their bank statement, which reflects the cash flow, text message reminders which are an official record of their borrowings. We collect data and assess if they are creditworthy for the loan they’ve applied for,” said Punja. “As a credit scoring platform, we track approved financial data of potential borrowers across the entire spectrum, which the banks or NBFCs might not have access to,” he added.Of the nearly 650 million borrowers in the books, more than 300 million are either new to credit or have a scanty credit score.



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