Fintech startup Novio, operated by Credilio Financial Technologies, has successfully closed a ₹100 crore ($10.5 million) Series A funding round to accelerate its mission of expanding credit access across India. The investment was led by Cornerstone Ventures, with participation from notable investors including Shepherd’s Hill Private Equity, ESV-Arthya AIF, and Roots Ventures. Additionally, the company secured venture debt from Innoven Capital and Alteria Capital to further bolster its financial position.
Founded in 2024 by industry veterans Aditya Gupta, Sandeep Ghule, Anand Kapadia, and Manish Sinha, Novio addresses the needs of the “thin-file” customer segment—individuals who lack formal credit histories. The startup’s flagship solution allows users to open a fixed deposit (FD) via its mobile application, which instantly serves as collateral for a RuPay credit card. This model effectively bypasses traditional banking barriers, allowing users to build a credit score while enjoying the flexibility of modern digital payments.
With this fresh infusion of capital, Novio plans to aggressively scale its distribution network, with a specific focus on penetrating Tier 2 to Tier 5 markets. The company aims to issue 50 lakh credit cards over the next three years. Furthermore, the funds will be used to broaden bank partnerships and advance product development, particularly by integrating its proprietary UPI stack and AI-powered credit advisory features. Having already reached a milestone of 1 lakh active cardholders within its first year, Novio is well-positioned to drive financial inclusion for millions of unbanked Indians.
FAQs [Frequently Asked Questions]
1. What is Novio’s primary business model?
Novio offers credit cards backed by fixed deposits. Users create an FD via the app, which acts as collateral, helping them build a credit score even without formal history.
2. How will Novio use the raised funds?
The ₹100 crore will be used to scale distribution into Tier 2–5 towns, expand bank partnerships, and enhance product features, including AI-driven credit advisory and the UPI payment stack.
3. What is the “thin-file” customer segment?
“Thin-file” customers are individuals who lack a traditional credit score or steady income documentation, making it difficult for them to secure credit from conventional banks.