Carefull, an AI-driven FinTech platform, has taken a significant stride forward in its mission to safeguard the finances of older adults.
The company successfully closed its Series A funding round, amassing an impressive $16.5m. Leading the investment was Fin Capital, with prominent contributions from Bessemer Venture Partners, TTV Capital, Commerce Ventures, Montage Ventures, and Alloy Labs. With this recent funding, Carefull’s total financial backing stands at $19.7m.
Distinguishing itself as the first Protect-Retain-Transfer (PRT) provider in the financial ecosystem, Carefull offers a technological solution tailor-made for banks, financial advisors, and insurers. The platform’s primary goal is to shield older adults, a demographic that is both highly valued and particularly vulnerable, from external financial threats and self-inflicted monetary mistakes.
By doing so, financial institutions can ensure prolonged asset retention and foster relationships with the next generation in preparation for wealth transfers. Carefull’s sophisticated system scrutinises various customer account types for over 50 financial and behavioural issues typical of aging. This includes detecting anomalies, suspicious activity patterns, and even more severe concerns like potential financial exploitation or signs of cognitive decline.
Carefull co-founder and co-CEO Todd Rovak commented, “There are now 45 million people across the country who are tasked with managing an aging loved one’s money, and older Americans lose $37bn annually to fraud and money mistakes. The growing role of the financial institution to help families here cannot be understated.”
Echoing Rovak’s sentiments, Carefull co-founder and co-CEO Max Goldman added, “Our approach of empowering and including the financial institution has led to tremendous growth over the past four years, so this new infusion of capital will help us reach even more aging Americans and their families.”
The past year has seen Carefull expand its operations, partnering with over 35 financial institutions and advisor groups. Notably, The Cooperative Bank in Roslindale, Massachusetts, was recognised with a 2023 Community Commitment Award from the American Bankers Association for its use of Carefull in safeguarding older Americans from potential fraud and anomalies in account activities. As of Q3 2023, statistics indicate that Carefull has substantially reduced customer account churn in partner banks, and it has generated as many as 60 new leads per wealth advisor.
The recently acquired funding is earmarked for enhancing Carefull’s onboarding and support for new partnerships. It will also fuel R&D initiatives aimed at older adult protection and compliance with new state regulations mandating heightened safeguards for aging Americans.
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