The Money Club Bags $2.5 Mn From Prudent Investment Managers, Others

SUMMARY

The Money Club plans to use the fresh capital to boost its financial solutions and technological capabilities to extend financial support to underserved populations

Founded in 2018 by Manuraj Jain, The Money Club is a digital platform that provides users on-demand liquidity without paperwork

The Money Club offers a small amount of loan primarily in the INR 15-20K bracket within six hours

Fintech startup The Money Club has secured $2.5 Mn (INR 21.1 Cr) in a Series A funding round led by Prudent Investment Managers, along with participation from existing investors Venture Catalysts, LetsVenture, Z21 and Supermorepheus.

The startup plans to use the fresh capital to boost its financial solutions and technological capabilities to extend financial support to underserved populations.

Founded in 2018 by Manuraj Jain, The Money Club is a digital platform that provides users on-demand liquidity without paperwork. It offers a small amount of loan primarily in the INR 15-20K bracket within six hours.

“The funding will enable us to further develop our innovative financial inclusion solutions, expand our technological capabilities, and continue our mission of providing financial empowerment to underserved populations,” Jain said.

The Money Club claims to have more than 7 Lakh users who have rotated around INR 350 Cr of their savings to date and generated a digital footprint of over 4.3 Mn transactions.

It collects behavioral data for a real-time underwriting model that creates accurate credit profiles using 30+ unique attributes per transaction, the statement added.

India has produced more than 24 fintech unicorns and 36 soonicorns up till the fourth quarter (Q4) of the financial year 2022-2023 (FY23) as per Inc42’s state of Indian fintech report Q4 2023.

The startups are trying to grab a pie of the country’s fast-growing fintech market which is expected to become a $2.1 Tn opportunity by 2030. Investors are also contributing to the rapid growth of the country’s fintech market with capital infusion.

Recently, a fintech startup CredFlow raised INR 31.2 Cr in its Pre-Series B funding round co-led by Inflexor Ventures and a Singapore-based family office.

In September, another fintech startup Zinc raised $25.5 Mn (about INR 214 Cr) in a seed funding round led by Nexus Venture Partners.

Note: The story has been updated to rectify the headline