Credit Kudos, a London-based startup using consumer transaction data to build credit scores, is taking on £600,000 ($792,000) in a round of seed funding led by fintech VC NFT Ventures.
The company says it is targeting the 12% of the UK population with little or no credit score who are often forced to turn to extortionate payday loans. Credit Kudos attempts to use real-time data based on a borrowers’ current account activity, rather than their financial history to predict credit worthiness more accurately.
The deal is Sweden-based NFT Ventures’ first investment in London and the frim reportedly says effects of the recent Brexit referendum on the value of the pound meant the deal came in cheaper for it.
NFT Ventures has so far this year invested in Stockholm-based fintech startups Toborrow, Depo, Nordcap and Pensionskraft, but says it will plans to make further investments in the UK while the pound is weaker against the Euro.
Having previously raised two €70m ($79m) funds NTF Ventures is reportedly in the process of raising a new €90m ($90m) fund.
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