DPDzero Secures $7 Million to Transform Debt Recovery with AI In a major push to modernize debt recovery in India, Bengaluru-based startup DPDzero has raised $7 million in
In a major push to modernize debt recovery in India, Bengaluru-based startup DPDzero has raised $7 million in Series A funding. The fintech company is making waves in the financial services world by using AI to help banks and lenders recover overdue loans faster and more ethically.
This fresh funding round was led by GMO Venture Partners, SMBC Asia Rising Fund, and Blume Ventures, with continued backing from existing investors India Quotient and new participants like the Sinarmas Group.
But what exactly does DPDzero do, and why is everyone betting big on it?
Founded in 2022 by Ananth Shroff and Ranjith B. R., DPDzero is not your typical debt collection agency. Instead of relying on outdated methods and aggressive calls, the company uses cutting-edge artificial intelligence to make the debt recovery process smarter, faster, and more respectful.
Its AI platform helps financial institutions like banks, NBFCs, fintechs, and microfinance lenders track, manage, and collect overdue payments in a way that improves recovery rates without harming customer relationships.
DPDzero already works with several major names in the Indian finance space, including:
This growing list of clients is a strong indicator of the trust financial institutions are placing in DPDzero’s AI-first approach.
Traditionally, debt collection in India has been manual, stressful, and inefficient. Borrowers often receive repeated phone calls and even home visits, while lenders struggle to track repayments and defaults at scale.
DPDzero changes all that.
This kind of automation not only boosts recovery rates but also reduces stress for borrowers and saves money for lenders.
According to the founders, the new capital will be used to:
The company wants to deepen its tech stack by improving its AI engine, making its predictions even more accurate and adaptable for different types of lenders.
While digital outreach works for many borrowers, some still require in-person follow-ups. DPDzero plans to train and deploy a large network of professional field agents who can follow ethical practices, powered by AI-guided workflows.
This hybrid approach – combining digital nudges with human interaction – could be the secret sauce to unlocking better recovery rates while staying borrower-friendly.
India’s credit landscape is booming. More people are borrowing, thanks to the rise of digital lending apps, buy-now-pay-later schemes, and small business loans.
But as more money gets lent out, the risk of non-performing loans (NPAs) also grows. For banks and NBFCs, recovering these dues without damaging customer goodwill is a huge challenge.
That’s where startups like DPDzero come in. By helping lenders recover money ethically, efficiently, and at scale, they’re playing a key role in keeping the credit ecosystem healthy.
And investors have noticed.
This funding round shows strong international interest in the Indian fintech space:
This diverse investor mix not only brings in capital but also opens doors for expansion across Asia.
With funding secured, DPDzero is setting ambitious goals for the next 12–18 months:
The company is on a mission to become India’s go-to debt recovery partner – one that respects the borrower and empowers the lender.
DPDzero’s rise reflects a larger shift happening in Indian finance: a move toward tech-first, borrower-friendly solutions that make debt management smarter and less stressful.
As borrowing continues to rise and financial institutions look for scalable solutions, AI-driven platforms like DPDzero could become the backbone of modern lending infrastructure.
And with $7 million in fresh funding and a growing client list, this young startup is clearly on the right track.
