Credilio Raises ₹100 Cr for Novio Credit Card Business
Fintech leaders discuss credit card expansion strategy for Novio.
Key Highlights
Fintech startup Credilio secures ₹100 Cr Series A funding led by Cornerstone Ventures to expand its FD-backed credit card app, novio, targeting underserved consumers.
Fintech startup Credilio has successfully raised ₹100 Crore (approximately $10.5 million) in its Series A funding round. The round was led by existing investor Cornerstone Ventures, with additional participation from Shepherd Hill, Roots Ventures, and ESV-Arthya AIF.
The newly acquired capital will be utilized to expand Credilio’s UPI-first fixed deposit (FD)-backed credit card application, novio. The funding was secured at a pre-money valuation of ₹300 Crore (about $31.7 million), according to founder and CEO Aditya Gupta.
Launched in 2024 as a distinct fintech platform, novio focuses on issuing secured credit cards tailored for underserved borrowers. Through partnerships with DCB Bank and SBM, novio offers FD-backed credit cards that are compatible with UPI. These cards also provide rewards and cashback benefits in collaboration with popular consumer brands such as Swiggy, BookMyShow, Flipkart, and Myntra.
Novio operates by leveraging Credilio’s core business as a credit marketplace. This marketplace enables direct selling agents (DSAs) and financial advisors to digitally distribute credit products from over 35 banks and non-banking financial companies (NBFCs). Additionally, it assists e-commerce platforms and direct-to-consumer (D2C) brands in upselling loans and credit cards to their customer base.
This business model serves as a customer acquisition channel for novio, particularly targeting individuals who are typically rejected for unsecured credit products due to a lack of credit history or formal employment. Credilio intends to use the fresh funding to enhance this acquisition funnel, develop new customer acquisition channels, and invest in brand building to attract larger customer segments and establish a prominent consumer-facing brand.
Expansion and Target Market for Novio
Novio aims to penetrate Tier II to V cities, regions where credit card penetration is currently limited and banks are often hesitant to underwrite lower-tier borrowers, Gupta explained.
The platform is set to target