MoloFinance, a UK-based fintech that is aiming to revolutionize mortgages, announced on Wednesday it secured £3.7 million through its latest seed funding round, which was led by Ubon Partners. Founded in 2017, the company reported it is developing what it thinks is the first true fully digital direct-to-consumer mortgage lender in the UK.
“At Molo we don’t want to just marginally improve the mortgage process: our target is to radically redesign the mortgage experience for the 21st century, fully leveraging the power of technology to ‘make mortgages easy’ for customers. As a result, our tech-enabled platform will enable consumers to obtain “instant” mortgage loan approvals via an on-line 100% compliant process which moves away from paper forms, manual review steps and the typical convoluted layers of brokers, large banks and traditional mortgage lenders.”
The company is planning to use the seed funds to prepare to launch its first product later this summer. MoloFinance co-founder Francesca Carlesi, shared with TechCrunch:
“The problem is simple: getting a mortgage today is a terrible experience, a painful process, based on obsolete practices, outdated in any other consumer experience. Just try to compare the 4-6 weeks paper-based process of getting a mortgage with the instant set up of a current account online now available in most challenger banks.”
Carlesi went on to add:
“We are not a broker, we don’t intend to disrupt the broker market. We are instead focusing on the overall lending process, from beginning to the end, with the goal to make the overall process quick, easy and more convenient and ultimately provide fully digital instant mortgages online. So in short we tried to solve the full problem that customers face today. As solving only one part of it in our view doesn’t solve the problem at all.”