Ibancar, the asset-based consumer credit platform has signed its first institutional debt facility up to an amount of €10m. The business is scaling fast in Spain and now plans to expand its activity to Mexico as well as launch other auto related credit products. The facility has been led by global venture capital and private credit investor Knuru Capital and will allow the platform to fund its growing loan book and continue its explosive growth trajectory. The facility will complement Ibancars existing and ongoing debt funding from crowdlending marketplaces where it has built one of the strongest originator track records offering high returns to investors with exceptionally low credit losses. During 2021 the platform experienced exceptional 3x year on year revenue growth and 4x loan origination growth whilst keeping impairments below 3% of revenue.
Ibancar, a fintech business in scale up mode, is focused on digital car title loans that provide a means for borrowers to obtain loans based on the value of their car. The proprietary platform is 100% digital and remote and can offer cheaper, larger, and longer loans than most other online lenders. The platform aims to provide an ethical alternative for millions of borrowers who currently use expensive unsecured online lending products like payday loans. Its use of cars as collateral also allows it to bring underbanked, unbanked and credit invisible borrowers into the online consumer finance market. Ibancars digital platform has proven extremely successful in the Spanish market where it has issued €7m in loans and has also proven its resilience by continuing to perform and deliver significant growth without credit losses during the COVID crisis.