Creditspring raises £2m pre-launch to “fix the UK’s broken consumer credit market”
Unable to disclose its actual offering just yet, Creditspring has also welcomed lead investor Chip Dunn as non-executive chairman of its board
Creditspring, a consumer credit start-up, has raised £2m to “fix the UK’s broken consumer credit market” – with lead investor and ex-managing director of BDT Capital Chip Dunn becoming non-executive chairman of its board.
Yet to launch, and in accordance with FCA guidelines, the London-based start-up is unable to share specific product details until its authorisation process is complete – which should be in early 2018.
As well as the injection of cash, Creditspring has also created a new advisory board, which includes fintech entrepreneur Brian Norton, MIT microeconomics professor Parag Pathak and Credit Suisse managing director Jason Wortendyke.
Founded by Neil Kadagathur and Aravind Chandrasekaran to give consumers better access to credit in a simpler, safer and cheaper way, the duo have a wealth of experience in the financial industry – having previously worked for the likes of Goldman Sachs, JPMorgan Chase and Deutsche Bank.
Starting their own business on their conviction that the “overpriced and overcomplicated consumer credit market in the UK was leaving too many people on a financial knife-edge” and is “one micro-crisis away from disaster” – Creditspring is expected to fully launch in the coming months.
Neil Kadagathur, co-founder of Creditspring, said:
“What do you do when the fridge breaks, the MOT bill is bigger than expected or your child has an unexpected school trip? For too many people, it’s a very narrow and very scary list of options. We’re building a product to change that.
“This investment will help us give people a better option, and the belief and support that Chip, Brian, Parag and Jason have demonstrated by joining us makes me extremely confident that this will succeed in addressing the UK market’s needs.”
Chip Dunn, lead investor in Creditspring and now non-executive chairman of the board, said:
“I’m thrilled to join Creditspring as an investor and board member. They are building a fantastic team and great business model on a solid technological base.
“What’s more, they’re fulfilling a genuine social and market need – I’m looking forward to working with Creditspring as they go from launch to market leader, starting in 2018.”