Pravin Jadhav, Fintech Unicorn Founder, Says Bank Rejected His Home Loan Despite INR 1.2 Billion Valuation
Pravin Jadhav, founder and CEO of fintech unicorn Raise Financial Services, has sparked a discussion on startup founders' access to retail credit after revealing that a leading private bank rejected his home loan application, allegedly because he was classified as a 'high-risk' borrower due to being an entrepreneur.
Pravin Jadhav, founder and CEO of fintech unicorn Raise Financial Services, has sparked a debate on how banks assess entrepreneurs after revealing that a leading private bank rejected his home loan application despite his strong financial credentials. Jadhav claimed the loan was denied because he was categorised as a "high-risk" borrower due to his status as a startup founder. The incident has triggered discussions on social media about traditional lending practices and the challenges entrepreneurs face in accessing credit.
Fintech Unicorn Founder Pravin Jadhav Highlights Strong Financial Profile
In a post on X, Jadhav said he has been a customer of the bank for more than 25 years, maintains a CIBIL score of over 800, and has assets with the lender worth five to six times the value of the home loan he had applied for. Despite these credentials, he said the bank classified him as a high-risk borrower because he is an entrepreneur. Jadhav also pointed out the irony that the same bank had previously recognised him as one of India's leading fintech innovators.
Fintech Unicorn Founder Pravin Jadhav Claims Bank Denied Home Loan Over 'High-Risk' Founder Tag
Founder's life is hard!
My home loan application got rejected by a top private bank - just because I am a founder.
> 25 years+ of customer
> ~800 CIBIL Score
> 5x-6x of loan value in relationship with this bank
> may be in top 0.1% of its customers by assets
> and irony is this…
— pj (@BeingPractical) July 14, 2026
Raise Became a Unicorn Last Year
Jadhav is the founder and CEO of Mumbai-based Raise Financial Services, the parent company of stock trading platform Dhan. In 2025, the company raised $120 million in a Series B funding round, achieving a valuation of around $1.2 billion and entering the unicorn club. Before founding Raise, Jadhav held senior leadership roles at Paytm.
Social Media Post Sparks Debate
Jadhav's remarks quickly gained traction online, with several entrepreneurs and startup professionals sharing similar experiences. Many users argued that founders often have fluctuating incomes despite owning valuable businesses, making them difficult to assess under conventional retail lending models.
Others noted that banks typically evaluate borrowers based on stable salary income, documented cash flows and repayment capacity, which may not always align with the financial profiles of startup founders.
Lending Norms Under Scrutiny
The incident has renewed discussion around how banks evaluate self-employed professionals and entrepreneurs. While financial institutions generally consider factors such as income stability, credit history, existing liabilities and repayment capacity, startup founders may face additional scrutiny because their earnings are often linked to business performance rather than fixed salaries. Neither the bank mentioned by Jadhav nor Raise Financial Services had issued an official statement on the matter at the time of publication.
Broader Conversation on Startup Financing
The episode has highlighted a broader issue within India's startup ecosystem—whether existing retail lending frameworks adequately reflect the financial standing of successful entrepreneurs. As the country continues to produce high-value startups, industry observers say lenders may need to refine their credit assessment models to better evaluate founder-led businesses while maintaining prudent risk management.
(The above story first appeared on LatestLY on Jul 16, 2026 11:33 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
