Lend-tech firm Rezolv raises $12.5M funding led by Norwest

Lend-tech startup Rezolv has secured $12.5 million in Series A funding led by Norwest, with additional participation from Vertex Ventures Southeast Asia and India, and existing backer 3one4 Capital. The Mumbai-based firm, founded in 2024 by former Kissht founders Karan Mehta and Sonali Jindal, plans to utilize the capital to enhance its AI capabilities, focusing on sales, risk assessment, underwriting, and debt collection automation.

Rezolv's platform is designed to automate various aspects of the lending cycle for banks and non-banking financial companies (NBFCs), covering areas such as customer engagement, loan servicing, collections, recoveries, and field operations. The company claims to support 6.5 million minutes of borrower interactions monthly and manages collections for over 12 million loan accounts, with its strategy builder tool reportedly increasing bounce and resolution rates by 35%.

Jindal stated that while AI adoption is no longer a major obstacle, the industry's next challenge is demonstrating quantifiable returns from AI implementation. The investors are optimistic about the potential of AI in debt collection, given its fragmented and labor-intensive nature. Niren Shah, Managing Director and Head of Norwest India, and Nikhil Kookada, Principal at Norwest, emphasized that AI presents an opportunity to "rethink financial services" and that debt collection is a compelling use case due to its scale and complexity.

This funding round underscores the growing trend of AI adoption in India's fintech sector, as lenders increasingly leverage AI to automate tasks like credit assessment, fraud detection, customer support, and collections. The Reserve Bank of India's continued focus on compliance, responsible lending, and risk management has further fueled this trend.

Recent funding activity in the sector includes successful investments in Indian fintech and AI-focused companies such as SarvaGram, Decentro, and Neysa, as well as traditional lenders expanding their digital transformation efforts.