ID Finance Secures €545 Million to Scale Plazo Consumer App in Spain

ID Finance has secured EUR 545 million in debt and equity funding to accelerate the growth of its consumer finance platform, Plazo. This capital injection, involving international investors like i80 Group and Kingsway Capital, represents one of the largest financing rounds for a Spanish fintech in recent years, signaling robust institutional appetite for AI-driven credit models in Southern Europe.

What was announced

The EUR 545 million package consists of both debt and equity, with global investment firm i80 Group providing the asset-based financing component. This follows a previous $150 million debt facility from i80 Group in early 2024, which was instrumental in expanding the credit portfolio for Plazo, ID Finance’s flagship consumer application. The new capital arrives on the back of a strong 2025 fiscal year, where the Group reported €243 million in revenue and nearly doubled its annual profit during the same period.

Plazo has emerged as the central pillar of ID Finance’s long-term strategy, having achieved bottom-line profitability in 2025. The app’s revenue grew by 300% year-on-year, and its user base now exceeds 400,000 customers. To further diversify its offering, the company recently introduced Turrón by Plazo. This product integrates an e-money account and a debit card with a Buy Now, Pay Later (BNPL) solution, allowing users to manage flexible payments for both online and in-store purchases.

The current funding is being deployed to scale this infrastructure, with Plazo expected to grow another 300% in 2026. This expansion is underpinned by an AI-powered technology stack designed for underwriting and risk management. Following the rollout of Turrón, the immediate operational focus has shifted toward building an extensive network of partner merchants to embed these credit solutions at the point of sale.

"This investment is a strong vote of confidence in Plazo and in the model we've built to modernise consumer credit in Spain. Plazo tripled its portfolio in 2025 and reached profitability, proving that responsible, AI-driven underwriting and a genuinely better product experience can scale together. This new capital from some of the most reputable global investors in fintech lets us build on that foundation, expand Plazo's product suite and keep pushing on innovation, including through Turrón"

Alexander Dunaev, co-founder and COO at ID Finance.

The companies involved

ID Finance is a prominent fintech group with primary operations in Spain and Mexico. The company focuses on leveraging data science and credit scoring technology to provide retail banking and liquidity solutions. Its flagship product, Plazo, serves as a comprehensive financial wellness app, while its newer Turrón brand targets the competitive Spanish BNPL and flexible payment market.

The funding round saw participation from a diverse group of international backers. i80 Group is a global investment firm specializing in asset-based financing for growth-stage technology companies; it has become a recurring partner for ID Finance, having provided significant debt facilities in previous years. Kingsway Capital, led by Managing Partner Tamir Saeed, is an investment firm that focuses on frontier and emerging markets, as well as disruptive technology sectors. Other participants in this round include Spice Expeditions and WashU. This consortium of investors highlights the cross-border interest in the Iberian fintech ecosystem, where ID Finance has established itself as a major player in the transition from traditional lending to integrated digital financial services.

What FF News has reported before

FF News has closely tracked ID Finance’s aggressive expansion and capital strategy. In September 2026, we reported that ID Finance Secures €21 Million Debt Facility from Asset Manager nordIX to Scale Spanish Consumer Lending, a move that bolstered its regional liquidity. Earlier that year, the group’s product diversification was highlighted when ID Finance Disrupts Spanish BNPL Market with Turrón by Plazo Debit Card Integration. Additionally, the involvement of i80 Group is a recurring theme in our coverage of high-growth fintechs. We have also noted the activity of Spice Expeditions in the broader venture landscape, such as their participation in the Series A for OCN, as detailed in The Fintech for Gig Workers Across the Americas, OCN Completes $86 Million, Series A Fund Raise.

What this means

This massive capital injection signals a shift in the Spanish fintech market, where the focus is moving from pure customer acquisition to proven unit economics and profitability. By securing over half a billion euros, ID Finance is putting significant pressure on traditional Spanish banks and smaller BNPL providers who may struggle to match this level of liquidity and AI-driven underwriting speed. The integration of BNPL with a standard debit card through Turrón suggests that the "super-app" race in Southern Europe is entering a more mature phase. The industry must now consider whether standalone lending apps can survive without the multi-product ecosystem Plazo is rapidly building.