UK car finance fintech Carmoola has raised an £8.5 million Series A funding round and a £95 million credit facility to revolutionize the way people pay for cars.

The round was led by US fintech experts QED Investors, with participation from existing investors VentureFriends and InMotion Ventures, the investment arm of Jaguar Land Rover. It also includes a credit facility provided by Natwest, helping Carmoola grow rapidly in a lucrative £120 billion market in the UK alone.

Launched just 10 months ago, Carmoola has liberated the aging, slow and outdated car finance market with a new ‘new auto finance’ product that is simple, easy to use and shortens the time The time to buy a car is only a few minutes. . . Carmoola’s proprietary technology and systems allow for a streamlined process providing buyers with a budget, creating free auto history checks and enabling payments to be made instantly online and in the showroom. displayed for only 60 seconds each time. Seamless customer experience.

“Used-car finance couldn’t be more ready for a fintech revolution. Consumers want the freedom to go shopping anywhere, knowing what they can spend, without sending off reams of forms and payslips.

“Frustrated consumers are being put in a corner with excessive rates, manipulated commission, and poor customer service, but it’s the very process of getting the finance that is at the heart of the problem. It’s full of paperwork, lengthy processes, and lack of certainty, but most importantly, car finance is obtained after the consumer has fallen in love with the car they want, which wholly puts them on the back foot. Until now, that is.”

“This funding will not only drive our ambitious growth aspirations but enable us to continue putting the customer at the forefront of everything we do.”

Carmoola CEO Aidan Rushby.

With 7.5 million used car purchases made in the UK alone by 2022 – with an average price of £13,705, Carmoola serves a £120 billion market for finance pre-approved auto purchases.

“Having not adapted to modern expectations for the consumer, the car finance industry has been caught off guard by the new neo-car finance brand Carmoola, who champion the consumer at every part of the process. Carmoola is on track to dominate the car finance sector with a game-changing approach to purchasing.”

Yusuf Özdalga, Partner and Head of Europe at QED Investors.

The funding will be deployed immediately to further grow the business and assist customers in rapidly adopting Carmoola since its launch just ten months ago. The plan is to grow the team to 20 people to meet the needs, putting the customer at the heart of their business. This champion of customer experience and service has earned a Carmoola score of at least 4.9 out of 5 across all review platforms.

Carmoola will also roll out eco-friendly discounts in the coming months to encourage consumers to use more sustainable options. Pure electric cars have grown by 57% to capture 1% of the used market, which will become an ongoing trend that Carmoola will capitalize on.