FinTech startup MFast raised $1.5m in a pre-series A funding led by Do Ventures.
Jafco Asia, subsidiary of Japanese private equity firm Jafco, also participated in this round.
According to the co-founder and CEO Phan Thanh Vinh, MFast will use the fresh funds to expand its coverage across more cities in Vietnam, invest in technology to enhance customer experience, broaden its partner network and scale to regional emerging markets.
Developed by DigiPay in 2018, MFast allows clients to distribute financial products, such as consumer loans, insurance, and phone recharge to other people, and get commissions from the transaction.
The company pre-qualifies applicants for credit services using predictive machine learning algorithms to identify applicants with high risks of defaulting on their loans, while its insurance customers are matched with plans using a data-driven engine.
The Vietnam-based company has reached almost 600,000 users through its 350,000 agents. It has disbursed more than 5 trillion dong ($216.3m) loans and distributed more than 50 billion dong ($2.1m) worth of insurance products. Around 80% of its end users come from the country’s rural areas, which the company says often limits their access to banking and credit-related services.
The startup has also partnered with prominent financial institutions such as Mirae Asset, CIMB, Mcredit and EasyCredit for consumer credit products. For insurance products, it has teamed up with PVI, PTI, and BSH.
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