Cred Business Model: How Does Cred Make Money?

Credit card rewards, payments, and management are among the services provided by Bengaluru’s India-based Fintech platform CRED. The RBI has authorized the CRED App. It is safe as a result. In April 2018, Kunal Shah, the former creator of Freecharge, a mobile wallet firm, started the company.

Understanding CRED

CRED enables users to pay with credit cards through its app and grants access to special deals and discounts. With this tool, users may track their spending, handle their credit card bills, and accrue reward points for making on-time bill payments. Users may manage and settle all their credit card debt in one location with CRED. Through the CRED application, users can accrue points, which can be applied to expedited transactions. Additionally, Cred has launched Rent Pay, Cred Cash, flexible credit lines, and Cred Mint, allowing lenders to lend their excess capital to customers with respectable credit ratings of about 9% annually.

After selling Freecharge in 2015, Kunal Shah searched for a new idea that would make a difference in people’s lives. During his research, he discovered that in developed nations, there are a lot of automatic products, like gas stations without attendants and supermarkets without cashiers. However, there is no reliable system in place to enable people to pay their credit card bills on time and in full without incurring any additional fees. The idea to reward devoted credit card customers who paid their bills on time emerged from why consumers should use their APPs to pay their credit card bills. With this goal in mind, CRED was unveiled in April 2018 to attract customers.


CRED Company Details

Aspect Details
Full Name CRED
Founded 2018
Headquarters Bengaluru, India
Founder Kunal Shah
CEO Kunal Shah
Industry Fintech
Services Credit card payments, exclusive offers, Rent Pay, Cred Cash, Cred Mint

CRED’s Business Model

The three pillars of CRED’s business model are:

  • Its credit card bill-paying users.
  • The CRED app.
  • The companies who post deals on the app.

Every one of these pillars is essential to CRED’s success.

Customers of CRED: A key element of CRED’s business strategy is its customer base. To pay their credit card bills, many consumers use payment applications or bank account logins; however, CRED offers incentives and benefits that make their options appealing. A network effect improves CRED’s position in the market as more people utilize CRED to gain benefits and distribute those benefits more widely.

CRED App: One essential element of CRED’s business strategy is the app. With the app, consumers may view all the options available for paying their credit card bills in an easy-to-use interface. Users can exchange CRED coins for prizes as they continue to pay their bills.

Companies that post deals on the app are essential to CRED’s business strategy. As users of apps of all kinds utilize it, CRED gives businesses of all sizes visibility by partnering with them and getting them on board. Businesses gain from this collaboration since it allows them to grow their clientele and income while giving users more incentives to utilize the app.

To be eligible for CRED programs, an applicant must have a credit score above 750. Additionally, users can share specific information using this program, including credit card details, email addresses for tracking costs and payments, credit ratings, and investment strategies. CRED offers a fundamental incentive for timely bill payment. CRED collaborates with various companies to enhance the appeal of offerings to users. As a result, companies are exposed to consumers from diverse backgrounds.

CRED Revenue Model – How does CRED make money?

Listing fees are how CRED makes money. Companies pay to have their items and services appear on their apps. To customize their services, financial institutions can also access the information gathered from individuals.

You can obtain goods and deals from companies who have paid to access Discover by using CRED. Among the incentives are fashion stores, Amazon gift cards, spas, and other businesses. Users can choose from a range of prizes with these deals. It draws consumers’ attention as a result. Every time a user redeems CRED coins from the app to select an offer, the company pays CRED a fee.

In order to provide you with better offers down the road, CRED gathers financial information from you while you use the app and keep up with your expenses. This represents their secondary revenue stream. Businesses constantly seek the most trustworthy clients to use their credit cards, loans, and other offerings. Banks and credit card companies pay CRED for access to this data.

There are more than one ideal revenue stream for CRED. Rentpay, CRED Stash, Credit Card Payments, Store, and CRED Pay are just a few of CRED’s many products and services.


CRED has become a pioneer in the Indian fintech industry thanks to its creative approach to credit card handling and payments. To set itself apart from competing credit card management platforms, the company has concentrated on offering a user-friendly platform that offers rewards and perks to consumers. Commissions from its rewards program, as well as transaction fees, are the main sources of income for CRED.

Sumit Kumar Yadav has experience analyzing business and finance of big to small companies. Loan, Insurance, Investment data analysis are his key areas.