- Adoption of Funding Circle’s LaaS Platform
- Pennsylvania-based Customers Bank is adopting Funding Circle’s Lending-as-a-Service (LaaS) platform.
- The move aims to expand lending capabilities for small and medium-sized businesses (SMBs).
- End-to-End Platform Implementation
- Customers Bank will embed Funding Circle’s LaaS platform for delivering “affordable term loans” directly to SMB customers.
- The platform integrates Funding Circle’s loan operations, credit modeling, and machine learning, allowing partners to issue bank-like loans up to $500,000 within 48 hours.
- Licensing and Loan Capacity Expansion
- Funding Circle recently obtained a license to offer SBA 7(a) small business loans from the US Small Business Administration.
- The licensing expands the online lending platform’s capacity to offer loans up to $5 million, effective from early 2024.
- Flexible Embedded Platform Benefits
- Funding Circle’s embedded platform enables banks to provide a fully-integrated, digital lending experience.
- This integration comes without the significant investment and resources typically required to build or buy such a platform.
- Kos Joshi, head of partnerships and embedded finance at Funding Circle US, highlights the flexibility of their platform.
- Customers Bank’s Strategic Moves
- This integration with Funding Circle follows Customers Bank’s previous selection of UK fintech OakNorth’s lending platform for credit monitoring and portfolio management in April 2020.
