Indian debt collection software Credgenics raises $50 million

According to the Reserve Bank of India (RBI), there was a 21% YoY growth in personal loans in India in June 2023.

Because there is now a high demand for innovative debt-collection solutions, Credgenics, an Indian startup focused on providing loan collections and debt-resolution technology platforms to banks, NBFCs, and fintech companies, has successfully secured a significant $50 million Series B funding round to scale its operations.

Its software-as-a-service (SaaS) platform offers a comprehensive suite of debt resolution solutions including digital collections, debt analytics, litigation management, and a collection mobile app, powered by AI-driven intelligent automation and machine learning models, to redefine how institutions manage debt collections.

At present, its partnerships encompass ICICI Bank, Kotak Bank, IDFC First, Axis Bank, as well as several NBFCs and fintech firms such as IIFL Finance, DMI Finance, and MoneyTap, among others. The startup claims it manages 11 million retail loan accounts and has achieved an aggregate loan book value of $47 billion in FY22.

The funds will also be used to fuel its agenda of additional product innovation and diversification into other segments within the banking, financial services, and insurance (BFSI) domain.

Notably, Credgenics envisions extending its footprint to Southeast Asian countries like Vietnam and Indonesia, leveraging similarities in credit market dynamics with its home base in India.

This funding round led by notable investors WestBridge Capital and Accel Partners drove up its valuation to $340 million, a three-fold increase from the $100 million valuation in its last financing in 2021.