Helping Immigrants Overcome Financial Obstacles
Stanford University graduate research project turned fintech startup, Nova Credit, has raised $45 million in Series C funding to support the growth of its cross-border and alternative data credit products. Nova Credit was founded seven years ago with the goal of assisting immigrants in overcoming the challenges of applying for credit in the US with no credit history.
Key Takeaway
Nova Credit raises $45 million to grow its cross-border and alternative data credit products, providing immigrants and individuals with limited credit history fair access to financial products and services. The company’s Credit Passport and Cash Atlas products enable users to establish credit in new countries and leverage alternative data for credit applications.
Connecting Credit Bureau Data Globally
Nova Credit’s flagship product, Credit Passport, enables immigrants to establish credit in the US by accessing credit bureau data from their home countries. The company has partnered with credit bureaus in 20 countries, allowing users to apply for banking products internationally. Nova Credit’s partnerships include American Express, HSBC, Scotiabank, Verizon, and Earnest.
Expanding Beyond Immigrants
In addition to serving immigrants, Nova Credit has expanded its product offerings to include Cash Atlas. This alternative data credit product allows anyone with a US bank account to leverage their account information, such as rent payment history and direct deposit, when applying for credit. Cash Atlas aims to address the financial exclusion faced by millions of individuals who are unable to access traditional credit due to limited credit history.
$45M Series C Funding Round
Nova Credit’s latest funding round, led by Canapi Ventures, brought in investors such as Avid Ventures, Geodesic Capital, Harmonic Capital, Radiate Capital, and Socium Ventures. Existing backers Kleiner Perkins, General Catalyst, Index Ventures, and Y Combinator also participated. The new capital will be used to expand Nova Credit’s product offerings and geographic reach.
