Stori Raises $212 Million to Stay Competitive in Mexican Fintech Market

Mexican fintech Stori raised US$212 million in new funding to expand its offerings and compete with strong players like Nubank.

This marks the second debt financing round for Stori within a year. The company plans to introduce investment advisory and personal loan services to its growing customer base.

Founded in 2019, Stori has rapidly gained traction among Mexico’s unbanked population, boasting over 3 million users. However, competition in the country has intensified with the entrance of top players such as Nubank, which has amassed over 7 million customers across Latin America.

Stori leverages advanced algorithms to assess customer creditworthiness based on mobile phone usage and social media activity. Its credit cards feature a 0% APR introductory period, no annual fees and rewards like cashback and travel points. Additionally, the company has extended billions of dollars in loans primarily to middle-class Mexican households.

Nearly half of Mexico’s population (approximately 50 million people) don’t have traditional bank accounts, according to the country’s financial regulator, Condusef. This significant unbanked segment has increasingly turned to fintech companies like Stori for financial services.

Since October 2023, Stori has offered savings accounts with competitive interest rates, further expanding its suite of financial services and positioning the company as a full-fledged digital bank.