How Amount’s $30m funding will transform digital lending for credit unions

Amount, a leading digital origination and decisioning SaaS platform, has successfully closed a $30 million equity capital raise. The funds will be used to advance its technology and expand its footprint within the credit union sector, further solidifying its position as a key player in the fintech landscape.

Curql and Existing Investors Join Forces

The latest funding round sees Curql, a collective of credit unions investing in fintech, come on board as a strategic investor. This investment aligns with Amount’s strategy to penetrate the U.S. credit union market, bolstering its capacity to deliver cutting-edge digital solutions. Existing investors, including Goldman Sachs, WestCap, Hanaco Ventures, and QED Investors, have also participated in this funding round.

Curql’s involvement is particularly notable given its role in driving fintech innovation within the credit union industry. The collective’s investment underscores a growing trend among credit unions to support technological advancements that enhance operational efficiency and member experience.

Expanding Technological Capabilities

Amount plans to allocate a significant portion of the new funding towards enhancing its artificial intelligence and machine learning capabilities. These advancements are expected to improve the efficiency of digital lending processes and provide a more streamlined user experience for credit unions and their members. AI and machine learning are critical in modernizing financial services, enabling institutions to offer more personalized and efficient solutions.

The emphasis on AI is also reflective of broader industry trends. Financial institutions are increasingly leveraging AI to automate processes, reduce operational costs, and enhance decision-making accuracy. By investing in these technologies, Amount aims to stay at the forefront of digital transformation in financial services.

Strengthening Existing Partnerships

Amount’s strategic partnerships with major banks and financial institutions have been a cornerstone of its success. The company’s long-standing relationship with Fifth Third Bank and major card networks like Mastercard has facilitated its growth and innovation in digital origination. In 2022, Amount partnered with Velera, formerly PSCU, to deliver digital credit card origination solutions. This partnership has been further solidified with the recent launch of Velera’s digital lending suite, Origination Solutions.

This collaboration highlights Amount’s ability to work effectively with large financial organisations to deliver impactful solutions. Velera’s new suite aims to enhance credit unions’ digital capabilities, offering a comprehensive platform for managing credit card and loan applications.

Expert Insights on the Funding Round

Adam Hughes, CEO of Amount, highlighted the significance of this funding round for the company’s future. Hughes emphasized the unique opportunity that credit unions have to leverage digital channels for efficient credit product and deposit account origination. He noted that Amount’s track record with large banks positions it well to provide substantial value to credit unions, enhancing their member relationships.

Nick Evens, CEO of Curql, expressed enthusiasm about the investment, stating that it aligns with Curql’s mission to support fintech innovations that transform the credit union member experience. Evens believes Amount’s platform will improve lending processes, making them more efficient and accessible.

Kevin Marcus, Partner, Co-COO, and Head of Strategic Operators at WestCap, praised Amount’s leadership in digital origination and decisioning software. Marcus highlighted the firm’s continued commitment to empowering credit unions and financial institutions with superior digital services.

Impact on the Credit Union Sector

The $30 million funding round is expected to drive significant advancements in how credit unions manage digital lending and deposit account processes. With a focus on enhancing technological capabilities and expanding strategic partnerships, Amount is well-positioned to lead the charge in modernizing financial services for credit unions. This investment not only strengthens Amount’s market position but also contributes to the broader trend of digital transformation within the financial sector.

Amount’s successful equity funding round marks a pivotal moment in its growth trajectory. With new investment from Curql and ongoing support from existing investors, the company is set to enhance its digital lending solutions and expand its reach in the credit union market. The focus on artificial intelligence and strategic partnerships reflects Amount’s commitment to driving innovation and improving the efficiency of financial services.