Novio raises Rs 100 Cr in Series A led by Cornerstone Ventures
Fintech startup Novio will use this funding to scale its distribution network, product development and enhance AI capabilities.
Fintech startup Novio has raised Rs 100 crore in a Series A round of funding led by Cornerstone Ventures. This round also saw participation from Shepherd’s Hill Private Equity, ESV-Arthya AIF, Roots Ventures, Innoven Capital and Alteria Capital.
Novio said it will use this capital for scaling its distribution network especially into Tier II cities and beyond. It will also be leveraged for product development and building AI credit advisory features on its UPI stack.
Novio offers credit cards against a fixed deposit, with the convenience of UPI Payments and plans to issue 50 lakh such cards over the next three years.
“Credit is India’s most aspirational financial product. Every young Indian wants it, but the system has historically been inaccessible. In India where having a credit card is often seen as a debt trap, with a fixed deposit, you can set your own credit limit and avoid overspending while enjoying the perks of a premium credit card,” said Aditya Gupta, Founder & CEO, Novio.
Novio was launched in 2024 under which a customer can open a fixed deposit through which they can receive a RuPay-branded credit card with requirement of income proof, credit history or eligibility checks. The credit card is linked to UPI, enabling ease of payments while the underlying deposit continues to earn up to 7% annual interest. Novio works with multiple banking partners such as SBM Bank and DCB Bank.
“What Novio has built is rare; a product that solves a genuine access problem, a brand that consumers love, and a business model where the unit economics get better as you scale. India has 4 crore credit card holders today and 40 crores waiting to join,” said Vatsal Bavishi, Partner, Cornerstone Ventures.
According to Novio, it has crossed one lakh active cardholders and it attributed this growth to its digital distribution engine, lean tech-driven operations, and a product designed around how Indians spend and save.
Edited by Megha Reddy