Zest AI, a Los Angeles, CA-based provider of automated underwriting with more accurate and inclusive lending insights powered by AI, announced that it raised over $50 million in growth funding.
The round was co-led by existing global software investor Insight Partners and new investor CMFG Ventures, with participation from CU Direct, Curql, Suncoast Credit Union, Golden1 Credit Union, Hawaii USA Federal Credit Union, and NorthGate Capital.
Zest AI plans to use the new funding to rapidly expand access to AI-automated credit underwriting for all lenders. In broadening access to this technology, Zest AI will fuel more accurate and consistent underwriting decisions, leveling the playing field for all borrowers and fostering a more inclusive economy.
"We're working to build a better future for the financial services ecosystem where underwriting is swift, equitable, and frictionless across the United States," said Mike de Vere, CEO of Zest AI. "Our work is to help our customers efficiently and confidently approve more loans — creating economic opportunities for all consumers."
The company is on target to nearly double its customer base in 2022 after tripling it in 2021. To date, the company has built over 250 AI-underwriting models.
Citibank, First National Bank of Omaha, Truist, Golden 1 Credit Union, Suncoast Credit Union, and Hawaii USA Federal Credit Union are among the most forward-thinking lending institutions that have worked with Zest AI to modernize their lending operations.
As more financial institutions adopt artificial intelligence tools to make better credit decisions, Zest AI is well-positioned to transform the industry.
Company: Zest AI, Inc.
Raised: $50.0M
Round: Growth Funding
Funding Month: November 2022
Lead Investors: Insight Partners and CMFG Ventures
Additional Investors: CU Direct, Curql, Suncoast Credit Union, Golden1 Credit Union, Hawaii USA Federal Credit Union, and NorthGate Capital
Company Website: https://www.zest.ai/
Software Category: AI-driven Credit Underwriting Software
About the Company: Founded in 2009, Zest AI is a tech company that makes software for credit underwriting and is on a mission to make fair and transparent credit accessible for everyone. Zest's technology uses AI to identify, predict, remove inherent biases, and render more consistent and equitable lending decisions. Zest uses machine learning to build more accurate and inclusive credit scoring models. Zest AI makes the power of machine learning safe to use in credit underwriting. The technology allows customers to approve more borrowers without taking on more risk, resulting in a 25 percent increase in approvals and full automation. Zest AI helps lenders make better credit decisions—increasing revenue, reducing risk, and automating compliance. The company is headquartered in Los Angeles, California.
Source: https://www.prnewswire.com/news-releases/zest-ai-secures-growth-capital-from-fintech-investors-strategic-partners-and-customers-to-advance-the-next-generation-of-ai-automated-underwriting-301665972.html