Sequoia-backed BankBazaar bags $6m to build out contactless financing capabilities

BankBazaar, a financial markeplace based out of India, today announced it has raised nearly US$6 million in new funding as part of its series D1 round.

Investors include new backer WSV Capital and existing investors Amazon, Sequoia India, Experian, and Eight Roads.

The latest capital injection brings BankBazaar’s total funding to US$116 million, according to a statement.

BankBazaar CEO Adhil Shetty / Photo credit: Adhil Shetty

The company plans to use the new funds for its business expansion in India and to deliver contactless personal finance products.

“In the post-Covid-19 world, the demand for contactless finance is going to grow exponentially, and this round of funding will help us accelerate our plans to implement contactless access to credit,” Adhil Shetty, CEO of BankBazaar, said.

Founded in 2008, BankBazaar’s marketplace provides customized offers on loans, credit cards, mutual funds, and insurance products. Users can search, compare, and apply for financial products on the startup’s website or mobile app. BankBazaar also gives free consumer credit scoring data on its portal.

The company said it was on track to achieve operational month-on-month profitability in March after seeing strong growth in its customer base and reduced costs.

From October 2019 to February 2020, its monthly organic traffic increased by 90%, while its registered customer base grew to over 40 million. It also saw a 53% growth in monthly revenue.

Shetty said that while the company looks forward to accelerating contactless credit, profitability continues to be its priority. He added that the new capital can help them to break even soon.

BankBazaar previously secured US$30 million in series D funding in 2017. Its largest funding so far came when Amazon led its US$60 million series C round in 2015.