Introduction
The Indian financial sector has witnessed tectonic shift in the previous decade. The rising demand for technology-enabled fintech products across a fast-growing addressable market is the primary reason behind the growth.
Although, the highly unorganized nature of the sector continues to plague it. Majority of people don’t have a required credit score to get a formal loan or a desired credit card. Banks exploit them further by charging exorbitant interest rates on personal loans and in return providing meagre interest on their demand deposits. This has led to an uptake of peer-to-peer (P2P) and buy-now-pay-later (BNPL) financial products in the market but accompanied with their own risks and limitations.
Further, The Indian consumer mindset is savings driven. They try to exhaust contacts in their social circle to get that extra discount. Although, the process is highly cumbersome and difficult to follow up.
Founded by Archit and Dheeraj, Credwise aims to solve these problems by introducing a trust-based social credit sharing and extension service for consumers. The application helps them to identify the best discounts available across their multiple cards and circle’s cards for a particular product. Users can request anyone in their circle to make purchases on their behalf and avail the extra credit free period and discounts. After the purchase is done, users can easily track the expenses incurred by Family & friends and settle the amount through an automated process.
Archit and Dheeraj are both IIT Alumni and met during their internship. They were constantly discussing the problems of day-to-day life and throwing off ideas at one another. Soon, they embarked on the mission to democratize the Indian finance ecosystem by leveraging technology. At Credwise, they believe that finance and money management should be simple and fun. As a technology platform, Credwise allows every individual to maximize the financial benefits available to them.
Market Opportunity
India’s shared credit market is worth more than $550 billion. Out of this, over $200 billion is loaned out informally, mostly in cash to friends and family every year. Moreover, mobile payment driven by UPI and the 500+ million smartphone user base is rapidly growing in India, but the retail credit penetration is still very low in comparison to developed countries.
Credwise aims to tap into this shared credit and spending market economy. With its end-to-end platform for tracking and managing all shared spending, it can unlock massive potential and drive large gains in customer experience.
100X.VC Thesis
With the rise of Credit cards and the various benefits which come with them, little has been done to consolidate each ones benefit/ rewards on a family/community level. Credwise is solving for this with no clear visible winner. Credwise team has known each other for a while and with their pedigree, we are excited on this opportunity.
Conclusion
With the team and the product, Credwise can prove to be an excellent platform for consumers. A trust-based social credit sharing and extension service will truly solve the problem of millions. The team’s commitment and drive to scale the venture to greater heights is why we, at 100X.VC, believe that Credwise is headed for great things. We are excited to play a part in achieving this dream!
