Credal, a Nigerian consumer credit fintech startup has raised a $1.5million funding round.
The funding came as the startup prepares to launch its credit cards for consumers in Nigeria. CredPal also plans to expand to other African markets and add to their product list with the funding.
The investors include Y Combinator, a startup accelerator that provides seed funding to early-stage startups which CredPal was accepted into in 2019; GreenHouse Capital, a fintech investment holding company; a digital insurance company; and other VC Firms. Armed with the funds, CredPal plans to expand to other African markets and also add to their product list.
What they are saying
Speaking on the development, the CEO and co-founder, Fehintolu Olaogun, submitted that:
“With this funding, the growing market demand for consumer credit, and our recent product launch to solve these needs, we know that we’re on the right track.
“We’re building the American Express of Africa, and our goal is to make credit cards mainstream across Africa as is obtainable in the United States and other advanced economies.
“With this funding, we’re working on ways to provide more information and education about credit cards, the value of owning one, and the benefits that comes with it.
“We are obsessed with the desire to see that working professionals no longer have a thing to worry about as it concerns dealing with their financial needs, a world in which every working person is rewarded with a CredPal card that has their back. A world in which they can embrace life today and live more.
“For a long while, our customers had demanded that we offer services where they can access credit rather than just processing payments for them at the point-of-sale.”
CredPal’s COO and co-founder, Olorunfemi Jegede, added that, “With our current raise and the launch of our credit cards, we’re confident about meeting these customers’ needs.”
What you should know
CredPal was launched in 2018 by Fehintolu Olaogun and Olorunfemi Jegede. It started with a simple solution, providing point-of-sale consumer credit for lower-to-middle class income earners in Nigeria. The fintech startup has been successful.
CredPal was among the winners of the Visa Everywhere Initiative for Sub-Saharan Africa and also won the Bill and Melinda Gates Foundation-backed EFInA Grant. It is also an alumnus of the YCombinator accelerator program in San Francisco.
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