Microlending startup Vola Gets 3.4 Cr Backing from Mexican Investors

Alternative lending platform for students, Vola,has raised $500,000 (Rs 3.4 crore) in a pre-Series A funding round from Mexican insurance and credit firm Credika and unnamed angel investors from the North American nation.

“The acquired funds will be used to build a new platform with artificial intelligence, machine learning and chatbots,” said Tushar Bagamane, co-founder and chief executive officer of Vola.

The firm will also use part of the fresh capital for marketing and hiring.

Bagamane said Vola has thus far raised $2.5 million in funding since the firm was incorporated last year.

Vola was founded by Bagamane, Jose Bazbaz and Isaac Saba.

Bagamane is an alumnus of New York University and has previously worked with startups such as WeWork, Instavans and Babyberry.

Vola’s app-based platform has around 1,000 users. The fintech startup aims to improve financial literacy and inclusion among milennials by offering single payment loans, cash advances and other borrowing facilities. It has partnerships with credit bureaus and says it helps borrowers develop a score that will enable them to access larger loans at lower rates in the future.

The firm currently has eight employees split between Bengaluru and New York.

Other microlending startups which facilitate loans for students and young professionals in India include KrazyBee, Slice Pay, Red Carpet Technologies and Quiklo.