Credit card company Deserve has just raised a massive $50m round led by investment bank Goldman Sachs.
Other investors include Sallie Mae, Accel, Aspect Ventures, Pelion Venture Partners and Mission Holdings.
The startup is specialising in providing credit cards to people who would usually not be accepted for one due to their limited credit history.
Deserve gets around that by using machine-learning and alternative to determine their creditworthiness.
With the new funding, Deserve aims to hire more engineers and data scientists and to scale its solutions.
Deserve empowers organizations of all kinds – from major financial institutions to consumer brands to universities – to offer customized branded credit cards with tailored rewards for their customers that in turn incentivize loyalty or other user behaviors,” Kalpesh Kapadia, CEO and co-founder of Deserve, Yahoo Finance. “Our API-centric approach means the platform is highly scalable and can be deployed on an advanced timeframe. It allows us to offer a seamless digital onboarding process for cardholders – a simple process for businesses and consumers alike.”
“Goldman Sachs is supportive of Deserve’s mission to expand access to credit, and to simplify the ability for organizations to offer their own bespoke credit card products,” said Ashwin Gupta, Managing Director, Goldman Sachs. “We believe Deserve’s card platform will bring meaningful savings and new opportunities to institutions across a range of verticals.”
The round comes a year after Deserve raised a $17m Series C round and scored $50m in debt financing from Keystone National Group.
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