Online lending startup CreditMate has received an undisclosed amount of funding from online payments startup Paytm. As a part of the deal, Paytm will leverage CreditMate’s proprietary credit and asset valuation technology and loan management system.
Jonathan Bill, who is the co-founder and CEO of CreditMate, says that the investment will allow the company to expand its operations, distribution, lending partnerships and technology.
Paytm is also creating a loan management system for its customers. Paytm Senior Vice President and CFO Madhur Deora said in a statement:
We are constantly innovating to provide access to financial services and lending specifically targeted at the large majority of Indians who do not have access to such products.
CreditMate was founded in 2016 by Jonathan Bill, Ashish Doshi, and Aditya Singh. The company is addressing the market for loans against two-wheelers through their partner dealer network for customers who might be new to credit.
The platform assesses the customer and asset (two-wheeler) using its proprietary credit and valuation engines. It works with licensed lending partners for whom it provides a credit recommendation and online access to a complete digital borrower and asset profile to enable fast and secured lending.
The company has partnerships with banks and non-banking entities on the supply side and auto-dealers on the demand side. Last year, the company raised around $500k from India Quotient.