Investments

Nova Credit Nets $50M To Aid Immigrant Credit Access

passport immigration

Cross-border consumer credit startup Nova Credit has raised $50 million in Series B equity financing, according to a Wednesday (Feb. 12) release

The investment was led by Kleiner Perkins, along with Canapi Ventures, Index Ventures, Nyca Partners and General Catalyst.

Sound Ventures, which was founded by Guy Oseary and Ashton Kutcher, also contributed, with support from baseball legend Alex Rodriguez and U2 guitarist the Edge.

The financing is going to be used to expand Nova’s footprint around the world and aid in its mission of helping immigrants get access to credit.

Nova Credit uses Credit Passport technology, which will allow for foreign credit data to be translated into a system that is familiar to American underwriters. 

“The world has become increasingly globalized, with people moving around the world at an accelerating rate, yet credit history has been trapped within national borders. Nova Credit is changing that by enabling millions of newcomers who have hard-earned credit abroad to access financial services more equally in the U.S.,” said Nova Credit CEO Misha Esipov. “Migration is an incredibly vulnerable period of transition and through the Credit Passport® we've made that experience more safe and welcoming. Nova Credit believes in a world beyond borders to enable newcomers to arrive and thrive.”

Immigrants, the release said, make up 55 percent of population growth in the United States, and that number is expected to grow to 80 percent by 2050.

“Credit is fundamental to economic success, but today's systems and infrastructure have not kept up with an increasingly mobile world. Nova Credit is democratizing access to credit globally and we're delighted to lead the Series B,” said Ilya Fushman, partner at Kleiner Perkins.

Nova Credit wants to help these newcomers, from places like Australia, Canada, India, Mexico and the United Kingdom, easily share credit history to allow them access to the U.S. financial system.

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