Indian digital lending startup EarlySalaray raises $110 million in funding

Oluwajuwonlo Afolabi -

EarlySalary, an India-based digital lending startup has raised $110 million in a funding round co-led by TPG's Rise Fund and Norwest Venture Partners, private equity majors.

  • The fund will be used to accelerate the startup's loan books, expand its presence into 150 cities, hire more talents for senior management functions, and develop the scope of its buy-now-pay-later (BNPL) offering.
  • Founded in 2015, EarlySalary provides instant loans to salaried persons earning around $1800 per annum. It directly transfers loans to the borrower's account.
  • It recently acquired Healthfin, a health financing platform to make entry into the BNPL space. With this acquisition, it enables consumers to convert their hospital bills into cost-free equated monthly instalments (EMIs). It also provides BNPL loans for individuals to upskill and also a check-out option for Indian edtechs.
  • 75% of loan disbursals on EarlySalary's platform come in cash while the rest is in BNPL form. The digital lending platform is now valued at $300 million at its latest raise, with Pirama Capital and Housing Financing Ltd. participating in the round.