Fintech startup FPL Technologies has raised $10 million led by Matrix India and Sequoia in its Series A round which also saw the participation of Hummingbird Ventures along with a few angel investors.

The Pune-based company will use the funds to scale its recently launched mobile-based credit card product called OneCard which it issues in partnership with IDFC First Bank, co-founder and CEO Anurag Sinha told ET.

The startup didn’t disclose the specifics of the deal including the valuation.

The latest funding announcement takes the total capital raised by the company to $15 million since FPL was founded in 2019 by Sinha along with former bankers Rupesh Kumar and Vibhav Hathi. The first round of capital infusion worth $4.7 million in September last year was also led by Matrix and Sequoia.

“We will use the new capital to grow our team, scale the issuance of OneCard and also build new consumer and merchant experiences on the product,” says Sinha, adding that the company seeks to “consumerise” the credit card market where 75% of the share is held by four predominant lenders.

Additionally, FPL is also in talks with two other banks to expand the partnerships on the issuance side, says Sinha who was a former banker at private sector lender ICICI Bank, and also the co-founder at personal finance fintech firm Walnut which got acquired by Capital Float in 2018.

Sinha added that the company has issued about 5,000 credit cards since June for pre-existing customers on its proprietary credit scoring platform called OneScore. The company plans to acquire most of its customers from the OneScore platform where users can monitor and improve their credit scores.

The Visa-signed credit card was set for an earlier launch this year, but was delayed due to the pandemic.

“Ours is a two-stage product,” says Sinha. “We are building a lendable community on OneScore and OneCard. We are also partnering with banks to provide us with long term liability support.” The risk-assessment platform launched last year has over 2 million users, according to the company.

Sinha explains the revenue model of FPL Technologies as a mix of interchange and forex conversion-based fees along with a share of interest income on cards and cross-selling based commissions from partner banks.

“OneCard changes the game for the consumer credit card experience,” says Shailesh Lakhani, Managing Director, Sequoia Capital India. “The FPL team led by Anurag, Vibhav and Rupesh have built a superior offering with the fastest onboarding, easiest reward redemption, and simplest bill payments.”