CRED is an Indian fintech company that was founded in 2018 by Kunal Shah. The company is headquartered in Mumbai. CRED’s mission is to “Empower people with credit” by making it easy for them to manage their credit card bills and make bill payments. It rewards its users for paying their bills on time with exclusive offers and access to premium experiences. The platform also has a mobile app that allows users to track their spending, set budgets, and see their credit scores. CRED has over 7.5 million members and is growing rapidly.
Table of Contents
What Makes CRED So Popular
CRED is changing the way people manage their finances and is quickly becoming one of the most popular fintech companies in India, and it has entered the unicorn club in two years of its operation. CRED works by connecting to your bank account and tracking your credit card bills. On CRED bill payments, you earn “cred” points that can be redeemed for exclusive rewards. The more bills you pay on time, the more cred points you earn, and the better the rewards become.
CRED’s Business Model
CRED is a great example of a fintech company that is using technology to solve a real problem for consumers. It is one of the Innovative startups that has a strong business model and is well-positioned for continued growth.
Users must have a credit score of above 750 to access CRED programs. The users will get the deals on every credit card bill payment, and this platform has partnered with many companies to offer deals to its customers. The CRED app is used by only credit card holders, and this fact appeals to the companies to partner with CRED. It is more focused on increasing the customer base than to make a profit in the initial stage. With the attractive and user-friendly interface, it has gained the trust of users as well as companies.
CRED Revenue Model
CRED’s revenue model is based on three main pillars: fees from credit card companies, interest on the float amount, and subscriptions. The company is growing rapidly and has been profitable since 2019. In 2020, CRED raised $81 million in a Series C funding round led by new investor Falcon Edge Capital and existing investor Coatue Management, valuating the company at $800 million.
Benefits of Using CRED
There are many benefits of using CRED, including the following:
-Easily track your spending and see your credit score
-Get exclusive rewards for paying your bills on time
-Avail offers from the banks that are partnered with CRED
-Build a good credit history and earn CRED coins on the payment of credit card bill
with CRED protect, you can get hidden charge alerts, fraud alerts, and real-time bill tracking.
Final Words
CRED is a great platform for anyone who wants to take control of their finances and improve their credit score. The company’s focus on transaction fees and interest income is a sustainable business model that will continue to generate revenue as CRED grows. If you’re looking for a way to manage your bills and get rewarded for paying them on time, CRED is definitely worth checking out.
