Nelo: Making Fair Credit Available to Latin American Consumers

April 16, 2021

Latin America remains a largely cash based economy. For most consumers, credit is unavailable or prohibitively expensive. So the opportunity to build new financial services in the region is tremendous, arguably larger and more impactful than in many other regions of the world. That’s why Homebrew led the seed financing for Nelo, in partnership with Susa Ventures, Rogue Capital, Unpopular Ventures and others.

WHO: Cofounders Kyle Miller and Stephen Hebson worked together at Uber, where they helped build Uber Eats globally. It was there that they first had to deal with consumers payments in Latin America. And to their surprise, cash on delivery was the most prominent way to pay. That shared experience led them to see the opportunity to financially empower Latin American consumers and change the way they transact.

WHAT: The past few years have seen the incredible growth of buy now, pay later (BNPL) offerings in various parts of the world. With BNPL, consumers are given the opportunity to pay for purchases with a zero or low-interest installment loan. Nelo makes it possible for Mexicans to easily and inexpensively increase their purchasing power at the point of sale. Nelo delivers its BNPL offering both online, supporting growing interest in e-commerce, and also offline, where consumers regularly shop today.

HOW: Credit card penetration is less than 10% in Mexico and other forms of credit are effectively non-existent. In addition, there is no reliable, comprehensive consumer credit rating data set in Mexico. Nelo builds underwriting models based on proprietary data and a vast merchant network that includes the largest consumer brands.

WHY: Nelo solves a serious problem related to the lack of credit for Latin American consumers. By increasing the purchasing power of consumers, Nelo believes it will spur economic growth throughout the region, which in turn will help improve the overall quality of life for all citizens. BNPL in Mexico is only the beginning for Nelo. Over time, the company will provide a broad set of digital financial products that will empower consumers and drive economic activity.

Nelo is based in New York and Mexico City and is hiring in both offices. If you’re excited by the opportunity to change the financial lives of Latin American consumers, email