Fintech Startup FREED Secures INR 60 Crore to Aid Clients in Achieving Debt Freedom

FREED is a rising fintech startup in India, offers a lifeline. Their tech-powered platform negotiates settlements, consolidates debt, and empowers users with financial education. FREED helps individuals pave a path towards financial freedom.

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FREED, a pioneering fintech startup, has successfully secured INR 60 Cr ($7.5 Mn) in its Series A funding round. This significant investment, spearheaded by Sorin Investments and Multiply Ventures, underscores the confidence these leading investors have in FREED’s vision and potential. Notably, Piper Serica, an esteemed investment company, along with other institutional funds, also participated in this round, as announced by FREED in an official statement.

The infusion of funds marks a pivotal moment for FREED as it embarks on an ambitious journey to expand its footprint and bolster its technological infrastructure. With a steadfast commitment to leveraging technology for the betterment of individuals, FREED aims to liberate people from the shackles of debt, offering innovative solutions tailored to their needs.

Established in 2020 by the visionary Ritesh Srivastava, FREED has emerged as a beacon of hope for countless individuals grappling with financial burdens. Srivastava’s impassioned mission to alleviate the debt burden across India resonates deeply with the ethos of FREED. The funding secured will fuel the company’s efforts to fortify its technological prowess, scale its operations, and, most importantly, make a tangible difference in the lives of many.

“At FREED, our unwavering dedication is to empower individuals by relieving them of the burdens of debt. With this infusion of capital, we are poised to elevate our technological capabilities, expand our reach, and ultimately, transform lives for the better,” remarked Srivastava, reflecting on the transformative potential that lies ahead.

FREED currently presents two plans: the Debt Resolution Programme and the Debt Consolidation Programme. In the Debt Resolution Programme, the startup engages in negotiations with creditors on behalf of individuals to lighten their debt burden. Meanwhile, in the consolidation programme, all debts are merged, simplifying the repayment process into a single EMI for customers.

The startup proudly states that it has assisted over INR 1,200 Cr in alleviating stressed retail debt on its platform, serving more than 25,000 customers across India.

Before securing this recent funding, FREED successfully raised $2.8 Mn in its pre-Series A funding round back in 2022.

It competes in the market alongside Singledebt, Freeze, DebtBuddy, Credible, and DebtDoctor. In the midst of a challenging funding season for Indian startups, there’s a glimmer of hope with a recent successful fundraise. The financial technology (fintech) realm, too, feels the pinch of this economic downturn. Just last month, the funds secured by fintech startups dwindled from a hefty $289 million in February 2023 to a mere $56 million.

Yet, amidst these challenges, the allure of the fintech sector remains strong for investors. They see its potential, especially with projections indicating that India’s fintech market could swell to a staggering $2.1 trillion by 2030.

Adding to the positive momentum, today witnessed another success story as TapFin, a fintech platform focused on clean mobility, secured $4 million in seed funding. This injection of capital paves the way for exciting developments in the realm of sustainable transportation and financial technology.

FREED, a fintech startup, has secured a noteworthy INR 60 Cr ($7.5 Mn) in its Series A funding round led by Sorin Investments and Multiply Ventures. The funds mark a crucial juncture for FREED’s journey as it endeavors to expand its reach and enhance its technological infrastructure to alleviate the debt burdens of individuals. Founded in 2020, FREED presents innovative solutions such as the Debt Resolution Programme and the Debt Consolidation Programme, already aiding over INR 1,200 Cr in retail debt alleviation. Despite economic challenges, the fintech sector remains attractive to investors, with optimistic projections for substantial market growth.