Kiwi, a cutting-edge credit card platform, has successfully raised $6m in pre-seed funding.
The funding round was led by Nexus Venture Partners and Stellaris Venture Partners, and also saw participation from angel investors, according to a report from Startup Story.
The startup has introduced “Credit on UPI,” a comprehensive solution that allows users to make payments through credit card or bank account directly from their mobile devices. With this launch, Kiwi aims to create one of the largest direct-to-consumer models in the credit sector.
In terms of what the company does, Kiwi’s app enables users to combine the power of a RuPay credit card with the convenience and simplicity of UPI. Founded in November 2022 by experienced FinTech and banking professionals Siddharth Mehta, Mohit Bedi, and Anup Agrawal, Kiwi has received approval from the RBI to connect RuPay Credit Cards to the Unified Payments Interface (UPI).
The new funding will be used to provide credit access to one million users through UPI within the next 18 months, as stated by Kiwi co-founder Siddharth Mehta. Users can obtain a virtual RuPay credit card through the Kiwi app, which will be connected to UPI, and transact on all merchant QR codes using their credit card. The company plans to partner with major banks to issue these credit cards and also offer additional services such as UPI on Savings and P2P transfers from Savings Accounts.
Praveena Rai, COO of NPCI, believes that Kiwi will be a game-changer in India’s credit card industry and a significant untapped market. Kiwi’s all-in-one Credit on UPI solution combines the advantages of both credit cards and UPI, offering convenience, rewards, and a flexible repayment experience of credit cards, along with the universal acceptance of UPI.
Anup Gupta, Nexus Venture Partners’ managing director, expressed excitement about the partnership.
Keep up with all the latest FinTech news here.
Copyright © 2023 FinTech Global
