MADRID, December 22, 2021 /PRNewswire/ — Ibancar, the asset-based consumer lending platform, has signed its first institutional credit facility up to €10 million. The company is growing rapidly in Spain and now plans to expand its business to Mexico as well as launch other auto-related credit products.
The facility was led by global venture capital and private credit investor Knuru Capital and will allow the platform to fund its growing loan portfolio and continue its explosive growth trajectory. The facility will complement Ibancar’s existing and ongoing debt financing in the crowdlending markets where it has built one of the best originator track records delivering high returns to investors with exceptionally low credit losses.
In 2021, the platform saw exceptional 3x year-over-year revenue growth and 4x growth in loans, while keeping impairments below 3% of revenue.
Ibancar, a scale-up fintech company, focuses on digital car title lending that allows borrowers to get loans based on the value of their car. The proprietary platform is 100% digital and remote and is able to offer cheaper, bigger and longer loans than most other online lenders. The platform aims to provide an ethical alternative to millions of borrowers who currently use expensive unsecured online lending products like payday loans. Its use of cars as collateral also allows it to bring underbanked, unbanked, and credit-blind borrowers into the online consumer credit market.
The Ibancars digital platform has proven extremely successful in the Spanish market where it issued €7 million in loans and has also proven its resilience by continuing to perform and deliver significant growth without credit losses during the COVID crisis.
Alex Melisfounder and CEO of Ibancar, said: “We believe that most products in the online consumer credit market do not solve the problem of the borrower and that the only way to solve this problem is to offer longer, larger, cheaper and transparent loans. . The only inclusive and ethical way to grant such loans is through the use of collateral. We are extremely proud of our success and plan to expand our product offering to car secured credit cards as well as B2C and C2C secure car financing for marketplaces. We also intend to launch Ibancar in Mexico during 2022.”
The company plans to announce an additional institutional debt facility of up to €50m in 2022 and is currently working on a €3m fundraise to fund new product development and expansion into new markets. .
About Ibancar
Ibancar is a fast-growing fintech lending platform that is transforming consumer credit by making fast and affordable online loans available to the full social and credit spectrum of borrowers, with a focus on ethical and inclusive lending practices.
About Knuru Capital
Knuru is a venture capitalist seeking capital and credit opportunities in the technology sector through the GCC, Africa and southern Europe with a particular interest in the financial services sector and underserved markets.
SOURCEIbancar
