CRED CEO Kunal Shah reveals salary, draws flak from netizens
CRED CEO Kunal Shah's latest revelation of his salary has caused a stir on the internet. During an "ask me anything" session on Instagram, Shah said he draws a salary of Rs. 15,000 per month in response to a user's question about the same. While some appreciated the CEO's answer, many pointed out that he compensates for the low salary in other ways.
Shah won't draw good salary until company is profitable
Shah also talked about why he is drawing a low salary. "I don't believe I should get a good salary until the company is profitable," he said. He added that he could survive with the money he made by selling FreeCharge (Axis Bank acquired FreeCharge for $60 million). The reaction to the revelation was very mixed though.
CRED launches 'buy now, pay later' platform
Separately, the company has entered India's fast-growing buy now, pay later (BNPL) market with its own offering. Dubbed CRED Flash, it will allow users to buy from over 500 over partner merchants and pay later from the app seamlessly. Users will have 30 days to clear the dues. Customers can make payments with a single swipe without having to wait for an OTP.
Only select group of users will have access first
CRED will first roll out the BNPL service powered by Parfait Finance and Investments Pvt Limited to a select group of customers. Considering the creditworthiness of CRED users, there won't be any background checks involved. For the unversed, CRED onboards only users with at least a credit score of 750. Moreover, users will not need to pay any additional charges while repaying.
Users can tap their phones on PoS to pay
CRED's tap-to-pay feature lets users pay by tapping their phones on the merchant's point-of-sale (PoS) machine. Users' credit cards will be charged for the payment. The feature uses "secure card tokenization technology to store card tokens on the device," the company said. It will be first rolled out to NFC-enabled Android devices. Users will have to unlock their phones before they tap.
Other Indian BNPL players struggling
India's BNPL payments are expected to grow 22.9% year-over-year to $14,289.4 million in 2023. The service has seen the maximum growth in Tier II and Tier III cities. Among India's major BNPL players are LazyPay, KreditBee, and ZestMoney. Most of them, however, are struggling financially. CRED aims to become the leader in the market with its userbase with great credit history.
