Karta AI, a Bengaluru startup that builds voice AI agents for banks, lenders and insurers, has raised $3m (about ₹28 crore, according to Inc42) in a seed round. It announced the funding on 22 October 2026.
PeerCapital and Cedar Hill Capital co-led the round, and Wyser VC, CDM Capital and Seedstars also took part, according to the company's release. Entrackr and Inc42 reported the same investors.
The company did not disclose a valuation, and none of the reports mentioned any earlier outside funding.
“Inbound is where financial institutions carry the most cost and where customers feel the most friction.”Vijaypal Singh, Co-Founder and CEO, Karta AI
What Karta AI does
Karta AI focuses on inbound calls, when a customer rings a bank or lender about a failed payment, a blocked card, a loan or an insurance claim. Such calls are often longer than outbound ones and can involve several requests at once. The company's agents connect to a financial institution's own systems so that they can carry out the steps a case needs rather than only answer questions, and they hand calls to human staff when needed.
At the centre of the product is what the company calls a predictive context engine, which draws on past conversations handled by people and by AI to decide how to resolve each new call. Inc42 reported that the engine uses standard operating procedures, knowledge bases, earlier conversations and data from APIs, and that the platform runs on models from OpenAI and Google's Gemini family as well as open-source models such as Kimi and Gemma. Cases involving fraud or other high-risk matters, and processes without clear operating procedures, go to human agents, and customers can ask for a person.
Although it focuses on voice, Karta AI also offers chat, email and WhatsApp, Inc42 reported. Its voice product supports about 25 Indian languages, including calls that switch between Hindi and English, while its chat product supports more than 200 languages.
Customers and results
Karta AI says it handles about 2 million customer conversations a month in more than 25 languages. At a home loan company it did not name, the company said its agent now resolves about 70% of borrower queries without human help, up from none, with tasks such as disbursal updates, account statements, foreclosure statements and the release of property documents. Escalations to staff fell from all queries to about 30%, and the cost of handling each query fell by roughly half, the company said. At a payments company, also unnamed, its retention agent produced 25% more conversions than human agents.
Chief executive Vijaypal Singh told Inc42 that the company has 10 to 12 paying customers, including PhonePe, Pine Labs, Bajaj and Aavas, and that it has won every proof-of-concept trial it has run so far.
Sahil Anand, managing partner at Cedar Hill Capital, said in the release that most voice AI companies his firm met were building for outbound calls such as collections and reminders. Karthik Prabhakar, managing partner at PeerCapital, said Karta AI's handling of conversations with several intents filled a gap in the market.
What the money is for
Karta AI said it will use the money to improve end-to-end automation and support for more languages, to deepen its work with financial institutions and to grow its engineering and sales teams. Singh told Inc42 that much of the money will go into go-to-market work and distribution over the next two years, with some going into product features such as self-learning.
In the longer term the company plans to build reusable tools for particular industries and to take its agents to markets outside India.
Singh and his co-founder Abhishek Kushwaha started the company in 2024 after leaving the payments firm Razorpay, where they had worked on internal AI automation, Inc42 reported. Karta AI began with chat automation and added voice in August 2025. Entrackr noted that other Indian voice AI startups for financial services, including Desible.ai, Navana.ai and Rezolv, have also raised money recently. The company has not disclosed its headcount or revenue.
Company website: getkarta.ai