Bengaluru fintech startup FamPay declared a $4.7Mn seed funding round from Y Combinator, Venture Highway, Sequoia India and Global Founders Capital (GFC).
Based in Bengaluru fintech startup FamPay declared a $4.7Mn seed funding round from Y Combinator, Venture Highway, Sequoia India and Global Founders Capital (GFC).
It was jointly founded by recent graduates of Indian Institute of Technology (IIT) Roorkee, Kush Taneja and Sambhav Jain.
FamPay is presently building a payments network which will specifically cater to teenagers in India.
Moreover, Twitch cofounder Kevin Lin, Robinhood cofounder Vladimir Tenev, CRED founder Kunal Shah, Pine Labs CEO Amrish Rau also took active participation in the round.
With the funding, FamPay is planning and plotting to add more people to its engineering team to enhance its technology stack.
During their college years, Taneja and Jain realised that banks or schools aren’t much doing for students to teach them personal finance.
To tap onto this section, the founders decided to launch a financial product which will cater to Indian teenagers. With FamPay, everyone and anyone can get a debit card without the need to set up a bank account. And using this card, anyone can pay for products and services both online and offline. Parents can top up the FamPay account of their children and let them spend the way they want but under guidance.
Furthermore Users can also send money through UPI on the mobile app.
Co-founder Sambhav Jain stated that empowering teenagers with their own accounts can create a new network of users and open various opportunities in the market. Jain believes that there’s a huge chance for innovation and redefining how payments are done and that’ll happen as FamPay’s user grows along with the firm.
FamPay stated that the company will be launching its product soon. For issuing cards, FamPay has partnered with IDFC Bank.
Whereas users get a virtual card instantly on signing up, the physical cards can be ordered through the app.
Before the launch of the final product, FamPay had run an experiment in the month of August 2019 with an Android app on the Google Play Store.
The startup says that it got over 20K installs within a week of launch and ranked as the fifth most trending app on Google Play Store. FamPay has added social substance such as a feed where users can post updates to boost engagement.
Last week, Bengaluru-based fintech startup Karbon Card had raised $2 Mn seed funding from Cred founder Kunal Shah, and Citrus Pay cofounders Amrish Rau and Jitendra Gupta. Amrish Rau is Pine Labs new CEO whereas on the other hand Gupta has founded and brought up Jupiter, which is seeking to launch its neobanking services soon.