Oolka, a fintech startup, raised $7 million in seed funding from a round led by Lightspeed India Partners and Z47, with participation from 8i Ventures and a number of other high-profile angel investors. The Bengaluru-based company will invest the funding in product innovation and hiring engineering talent to expand its AI-powered credit-management system.
Fresh Capital to Boost AI and Product Development
Oolka said the new funds will primarily go toward building out its engineering and data science teams. The company is working on advanced AI-driven features such as voice support, live-call assistance, and agentic AI tools that can, with user consent, take direct action to improve an individual’s credit outcomes.
By strengthening its tech infrastructure, Oolka also aims to enhance transparency and safeguards around AI decision-making, ensuring its interventions remain explainable and reliable.
Early Traction and User Growth
Founded by Utkrishta Kumar in 2024, Oolka is the first agentic AI credit-management platform in India. Unlike standard applications that show a score, Oolka focuses on both monitoring these scores while implementing actions.
It has maintained that they are close to reaching two million users, have processed more than ₹ 100 Crore in credit repayments, and expect to be over $1 Million in Annual Recurring Revenue (ARR) in the months ahead. The app is currently available on Android only, with an iOS version coming soon.
Product Offerings and Unique Features
Oolka’s services include:
- Real-time credit monitoring and insights
- Consolidated EMI and loan management tools
- Rewards for healthy credit behavior
- An AI-powered “CIBIL Expert” that assists users in resolving disputes or negotiating with lenders
To enable seamless repayment management, the platform has integrated with Bharat Bill Pay (BBPS). The platform’s planned development in more than 100 Indian languages has the impetus of reaching across regions.
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Partnerships with Leading Financial Institutions
Oolka has partnered with a number of major banking institutions as Yes Bank, IDFC First Bank, AU Small Finance Bank, Muthoot Finance, and InCred. These partnerships follow the credits marketplace and provide users with option to access more financial products.
Oolka is framing itself as a trusted intermediary for banks and customers as they look for personalized financial options.
Backing from India’s Startup Leaders
The funding round also saw participation from some of India’s most prominent entrepreneurs and operators. Angel investors include Vidit Aatrey and Sanjeev Barnwal (Meesho), Ramakant Sharma (Livspace), Madhusudan R (M2P Fintech), Rajesh Yabaji (BlackBuck), and others.
Investors highlighted Oolka’s potential to transform how Indians manage credit. Lightspeed partner Harsha Kumar praised the company’s focus on automating repayments and rewarding credit discipline. Z47’s Vikram Vaidyanathan added that Oolka fills a critical gap by enabling users to actively improve their credit health rather than passively tracking it.
Rising Credit Awareness in India
Oolka’s growth comes at a time of rising credit awareness in India. TransUnion CIBIL reports that in 2024 more than 119 million Indians tracked their credit scores; this is a 51% increase year-on-year. GenZ and millennials made up nearly 77% of these consumers. This increasing awareness creates more of an opportunity for AI-powered platforms, which can provide information, and also help consumers proactively improve their financial health.
Challenges on the Horizon
Despite strong momentum, Oolka faces key challenges:
- Regulatory compliance in handling sensitive credit data
- User trust, as many may be cautious about allowing AI to intervene in financial matters
- AI risks, including errors or biases that could impact credit decisions
- Competition from established players like CRED and emerging fintechs offering similar services
To overcome these hurdles, Oolka must balance rapid innovation with transparency, governance, and compliance.
The Road Ahead
With $7 million in funding Oolka plans to make an impact on the future of credit management for the Indian user and consumer. Combining monitoring with actionable AI implications and accessibility, Oolka hopes to be a reliable feature in the financial lives of millions of Indians. The next 12- to 18- months will be a critical time for Oolka as it seeks to scale its platform and roll out its future features sets while seeking to establish its credibility in the Indian fintech space.
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