Nova Credit raises $45m in Series C round to expand product suite
Credit bureau and data analytics company Nova Credit has raised $45 million in a Series C funding round as it seeks to further develop its product offering and refine the application of open finance to credit decisioning.
Nova Credit lands $45m in Series C round
The round was led by primary investor Canapi Ventures and builds upon the company’s $50 million Series B round of February 2020.
Existing backers General Catalyst, Index Ventures, Kleiner Perkins, Y Combinator and Avid Ventures also participated in the fundraise, along with new investors Geodesic Capital, Harmonic Capital, Radiate Capital and Socium Ventures (Cox Enterprises).
The company says it will apply its latest round of funding to “further broaden” its product suite, which currently includes its income verification and cash flow underwriting solution Cash Atlas and its Credit Passport solution, which grants lenders access to international consumer-permissioned credit data.
Founded in 2016 and headquartered in New York, Nova Credit specialises in leveraging open finance to enable its partners to extend credit lines with more confidence and accuracy.
This year alone, the company has formed partnerships with a number of high-profile financial institutions, including HSBC UK, which is leveraging its Credit Passport offering to lend to international arrivals, and the fintech Earnest, which is utilising the company’s tech to expand the accessibility of private student loans in the US.
Speaking on the Series C, Misha Esipov, co-founder and CEO of Nova Credit, says the fresh funding “fortifies” the company’s position as a partner to lenders, and that while cross-border credit remains “critical” to its strategy, the intended expansion of its offering beyond the scope of cross-border credit will seek to “tackle a new set of industry challenges long unsolved”.
