Credit scoring and lending startup Tala has picked up more than $30m in a Series B round led by Institutional Venture Partners (IVP).
Ribbit Capital and existing backers Lowercase Capital, Data Collective, Collaborative Fund and Female Founders Fund (F3) also participated.
Based in Los Angeles, Tala operates across East Africa and South-East Asia where it aims to improve access to financial services among the regions’ growing middle classes.
The company’s Android app aggregates data from a customer’s device, including financial transactions, savings, network diversity and geographic patterns to build a customised credit score.
Users can also apply for credit on the app through which loans are deposited and paid back directly.
IVP general partner Jules Maltz said: “By using smartphone data to build financial identity, Tala is pioneering a new model that can reach more than two billion people globally who have been underserved by traditional finance companies.”
The company says the new capital will be used to ramp up product developments, expand into new markets and grow its internal team.
Tala founder and CEO Shivani Siroya said: “From day one, Tala’s mission has been to change global financial systems so that people have more access, choice, and control.
“With this new round and team of phenomenal investors and advisors, we are positioned to connect millions of underserved people to financial services that can advance their lives.”
The company claims to have issued more than 1 million loans worth $50m with repayment rates of more than 95%.
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