Mexico “is a really green market,” he said, noting that about 90% of Mexicans do not have a credit card and 50% do not have a bank account.
The executive explained that Klar currently offers lines of credit ranging from 1,000 pesos to 30,000 pesos, but is looking to “experiment” with loans of up to 40,000 pesos.
“Every three months we reassess the size of the (credit) line,” Moller said. “But we want to see how to speed that up, bring it down from every three months to every month.”
Several fintechs that offer similar services have emerged in Mexico in recent years, seeking to become an alternative to traditional banking.
“This market has not been served,” Moller said. “We are still in a market where credit penetration and consumer credit penetration is much lower than it should be compared to indicators of economic development.”