Credit card bill payment app Cred has been granted initial approval to foray into the payment aggregation sector, according to sources. The company will submit a system audit report within the next six months for further evaluation, people familiar with the matter told NDTV Profit, adding that the final approval for this expansion will then be determined based on the findings of the report.
The development marks a step forward for the financial technology firm towards its expansion of its business offerings.
In February, Cred acquired Kuvera, an online wealth management platform, for an undisclosed amount. That marked Cred's fifth acquisition since its launch. Other acquisitions include CreditVidya, HipBar, and Happay, along with a stake in LiquiLoans.
Cred, registered as Dreamplug Technologies Pvt., reported a revenue of Rs 1,400.6 crore during the financial year ending March 2023, up from Rs 393.5 crore in FY22. However, losses widened from Rs 1,279.8 crore in FY22 to Rs 1,347 crore in FY23, partly due to a Rs 300 crore increase in Employee Stock Ownership Plan.
Established in 2018, Cred offers users the ability to settle their credit card bills, while also accruing rewards from affiliated brands. The company generates revenue by charging a fee when users cash-in their rewards.
Cred's imaginative web commercials, characterised by captivating narratives, have garnered significant traction on various social media platforms.
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