Credit management services company CreditMantri has raised Rs 51.4 crore ($7.6 million) in a Series B round of funding. The round was led by Accion Frontier Inclusion Fund, managed by Quona Capital along with Newid Capital and existing investors Elevar Equity, IDG Partners, and Accion Venture Lab. Chennai-based CreditMantri bridges the gap between consumers and lenders by making credit possible.
The funds will be used to grow its user base, strengthen its product proposition, and build the team. Veda Corporate Advisors were the bankers to the transaction. CreditMantri had raised $2.5 million in a Series A round of funding from IDG Ventures India, Elevar Equity, and Accion Venture Lab in 2015.
CreditMantri was founded in 2012 by three former Citibank executives - Ranjit Punja, R Sudarshan, and Gowri Mukherjee. The company uses traditional data (such as credit reports) and alternative data (such as social media, data from mobile phones, etc.) to enable consumers to create their credit profile in order to understand their credit potential and make investment decisions.
Alternate data is particularly important for users who have limited choice and access to credit. The company has served over 1.4 million users till date, with over 60 percent of users providing access to over more than 2,000 credit relevant data points in order to build their credit profile using CreditMantri's proprietary algorithm.
On the platform, users can discover loans, credit cards best matched to the profile from lenders across the risk continuum, resolve and dispute issues on existing loans and borrowings, and reduce current borrowing costs.