By Knowlton Thomas
A Calgary-based financial technology firm modernizing credit in the automotive industry and beyond has secured a financing round.
CreditApp has raised $2.7 million in a round led by Inovia Capital with participation from Polar Venture Partners and others, reports BetaKit, as the Alberta firm finds success since spinning out of parent company Quantifi Lending.
CreditApp launched as a feature of Quantifi back in 2016 before becoming an independent subsidiary in 2022.
Today, solutions include an indirect lending portal that connects automotive lenders and dealerships, altering how lenders access and assess applicants and enabling partners to integrate into the financing process. CreditApp also offers a verification module to provide fraud prevention, income verification, and summarized data for lender offices.
The upstart is headed by Marcos Lopez, who has served CreditApp as chief executive officer since the start of the year. Lopez hails from Solium Capital, a Calgary-born fintech sold to Morgan Stanley in 2019 for over $1 billion.
The new chief believes that Canada’s financial technology realm is ripe for disruption, with CreditApp being well positioned to make waves.
“I get annoyed at how uncompetitive the Canadian landscape is,” the CEO informed BetaKit, “and I enjoy trying to compete against monopolies—and so the opportunity to go and bring innovation to this ecosystem that hasn’t seen a competitor in, really, 15 [or] 20 years was quite attractive.”
The all-equity round closed in May. Building on previously unannounced financing to power its launch in 2022, CreditApp’s total funding now exceeds $7M.
