Two Rocket Internet companies have joined forces to launch a new fintech platform to take on traditional banks in Germany. Deutsche Kreditmarktplätze, which means German Credit Marketplaces, is aimed at private investors as well as private borrowers and businesses, and has been created by Zencap and Lendico, both of which are in the portfolio of the Samwer brothers’ startup production line.
With the new platform, investors can put their money directly into credit projects of private individual and SMEs. The two companies hope that Deutsche Kreditmarktplätze can help bring about specific standards in terms of risk assessment and security when it comes to investments, with both investors and borrowers promised a more transparent and simplified process compared to what is out there now.
“Deutsche Kreditmarktplätze stands for security, reliability and innovation,” said Dr. Dominik Steinkühler, CEO and co-founder of Lendico. “Typical ‘Made in Germany.’”
He said that the new platform would “finally make the new asset category of credit financing successful in Germany.”
Zencap, which was only founded in March, is a digital credit marketplace for SMEs in Germany, and can boast 35 financial experts on its staff. Lendico, which is also based in Berlin, offers loans at low interest rates for lenders and attractive returns for investors. It is currently operating in Germany, Austria, Spain, Poland and South Africa.
By investing in Deutsche Kreditmarktplätze, its creators say that private investors will benefit from a balanced diversification of their portfolios and can earn attractive returns while at the same time minimising risks.
Dr. Christian Grobe, Zencap CEO and co-founder, said: “With this joint project we are offering the same range of services like banks – only at considerably more attractive terms. And that is in high demand among investors.”
The two startups are fairly similar in terms of the products they offer, and it certainly makes sense for Rocket – the Samwer brothers’ startup production line – that they have joined forces. No word yet on whether they will remain separate entities or link up more closely, but the banking industry – as we have seen before – is begging to be disrupted, and it seems as if it will need a great deal of resources to do so.