Credit goes to…

• Congratulations to 500-backed fintech company Kredivo Holdings (formerly known as FinAccel) for raising US$270M in an oversubscribed Series D round to continue serving underbanked consumers in Indonesia and Vietnam!
• Led by Japanese bank Mizuho Bank, the round included participation from existing investors Square Peg Capital, Jungle Ventures, Naver Financial Corporation, GMO Venture Partners, and Openspace Ventures.
• CEO Akshay Garg shared that Kredivo’s user base is in the same range as the credit card population of Indonesia, adding, “We intend to exceed it over the next year or two.”
• He also said that the company now drives 3% to 4% of total GMV for its top e-commerce merchants in Indonesia. Kredivo’s products include online and offline buy now, pay later, personal loans, credit cards, and banking services through their new neobank, Krom Bank Indonesia.
• The underbanked population in Indonesia and Vietnam is a result of poor credit bureau infrastructure and the reluctance of traditional banks to offer unsecured credit.
• How has Kredivo managed to serve this group successfully? The team gauges the creditworthiness of potential consumers through data sources like telcos, e-commerce accounts, and bank accounts.
• They also lower risk and the cost of credit by targeting urban, white-collar, employed customers, usually with bank accounts, compared to competitors that target higher-risk consumers and charge correspondingly higher interest rates.
• Next for Kredivo: Krom’s services will launch with deposits and transaction banking this year, while Kredivo is building an open loop credit card-like product, which includes Infinite Card, a virtual card partnership with Mastercard and offline card Flexicard.
• Read the full story on TechCrunch.