Spanish Ibancar gets credit facility

Ibancar, the consumer credit platform on assets, signed its first line of institutional debt to the tune of € 10 million. The company is growing rapidly in Spain and now plans to expand its business in Mexico as well as launch other auto-related credit products.

The facility was led by global venture capital and private credit investor Knuru Capital and will allow the platform to fund its growing loan portfolio and continue its explosive growth trajectory. The facility will complement Ibancar’s existing and ongoing debt financing from equity lending markets where it has built one of the strongest originator track records providing high returns to investors with exceptionally low credit losses.

In 2021, the platform experienced exceptional growth in turnover by 3 over one year and growth by 4 in loan issuance while keeping write-downs below 3% of revenues.

Ibancar, a scalable fintech company, focuses on digital car title lending that allows borrowers to get loans based on the value of their car. The proprietary platform is 100% digital and remote and is capable of offering cheaper, larger, and longer loans than most other lenders online. The platform aims to provide an ethical alternative to millions of borrowers who are currently using expensive unsecured online loan products like payday loans. Its use of cars as collateral also enables it to bring underbanked, unbanked and invisible credit borrowers into the online consumer credit market.

The digital platform Ibancars has proven to be extremely successful in the Spanish market where it issued 7 million euros in loans and has also proven its resilience by continuing to perform and generate significant growth without credit losses during the crisis. COVID.

Alex Melis, Founder and CEO of Ibancar, said: “We believe that most of the products in the online consumer credit market do not solve the borrower problem and the only way to solve this problem is to offer longer, larger, cheaper and more transparent loans. The only inclusive and ethical way to provide such loans is through the use of collateral. We are extremely proud of our success and plan to expand our product offering to include car-backed credit cards as well as secure B2C and C2C automotive financing for markets. We also intend to launch Ibancar in Mexico in 2022. ”

The company plans to announce an additional institutional debt facility of up to € 50 million in 2022 and is currently working on a capital increase of € 3 million to finance new product development and expansion on new markets.

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