Cred Sets 750+ Credit Score as Hiring Requirement, Expands Lending Services

Bengaluru-based fintech startup Cred, led by Kunal Shah, has introduced an unusual hiring requirement—candidates must have a credit score of 750 or above to be considered for a job. While skills and experience matter, Cred also values financial responsibility.

This practice is common in developed countries, especially in industries dealing with sensitive financial data. Companies check candidates’ credit history to ensure they align with the organization’s values.

Why Cred Focuses on Credit Scores

Kunal Shah believes that most people don’t have low credit scores on purpose; rather, they are often unaware of the factors affecting them.

“If we are building products that promote responsible financial behavior, we must set an example ourselves,” Shah explains. While he prefers a credit score of 800, many young professionals don’t have enough credit history to reach that level. So, Cred has set 750 as a fair requirement.

For candidates who don’t meet the mark, Cred gives them three months to improve their credit score with the company’s support. Shah also highlights that errors in credit reports, like unrecognized loans, often bring scores down. Fixing these issues can significantly improve a person’s creditworthiness.

Financial Discipline and India’s Economy

Shah argues that India’s financially stable population should maintain good credit scores. He sees responsible credit usage as essential for the country’s financial growth.

Cred’s Head of Product, Akshay Aedula, shared how a low credit score almost cost him a job six years ago. He pointed out that 79% of Indians have faced negative consequences due to poor credit scores—mainly because they lack awareness of how the financial system works.

Cred’s Growth in Lending and Financial Services

Cred is expanding its services beyond credit score tracking. Its latest feature, Svalbard, allows users to use mutual fund investments to get digital credit lines, with interest rates starting at 8.99%. This move strengthens its position in the lending space.

As of February 5, Cred’s total loan portfolio has crossed Rs 19,000 crore, according to Moneycontrol. Its in-house NBFC, Newtap Finance, handles 2.7% of the total assets, while six other lending partners manage the rest. Lending has become a major revenue source, alongside payments and insurance services.

To improve credit card management, Cred is also launching a unified dashboard that consolidates statements from multiple credit cards, making financial tracking easier for users.

Cred’s Growth and Future Plans

Founded in 2018, Cred reached a valuation of $6.4 billion after raising $140 million in June 2022. Investors included Singapore’s GIC, Tiger Global, Sofina Ventures, Alpha Wave Ventures, and Dragoneer.

With its focus on financial discipline, lending innovation, and user-friendly credit tools, Cred is positioning itself as a leader in India’s fintech industry.