The Bengaluru-based virtual-banking startup IndyFint has announced that it has raised USD 2.1 million through Series A round of funding led by Saravanan Adiseshan.

The startup which started its operation from October 2019 was co-founded by Paddy Padmanabhan, the Chief Architect of Finacle core banking software from Infosys along with Rajiv Kuchhal, a serial entrepreneur.

Saravanan Adiseshan is the co-founder of SJ Associates.

The start-up helps lenders to get directly provide short-term loans to merchants, employees, and students. In order to build a pull-based credit system, the firm is planning to develop its proprietary machine-learning lending algorithms for ‘Credit Scoring’ basis the transactions of small business entrepreneurs.

The firm is planning to use this fund to accelerate the development of its product and enhance its market expansion efforts.

“With the unorganized lending being upwards of USD 130 billion a year in India, there needs to be concerted effort to provide timely and affordable credit to millions of users,” said Padmanabhan.