Credit service and financial wellness company Credit Sesame has raised more than $42 million in funding. Featuring new and existing investors such as Menlo Ventures, Inventus Capital, Globespan Capital, IA Capital, and SF Capital, the combined equity ($26.6 million) and venture debt ($15.5 million) financing will take Credit Sesame’s total capital to more than $77 million. The funding will help speed Credit Sesame’s growth, enable the company to hire more than 100 new employees over the next 12 months, and “advance its analytics, robo advisor and machine learning technologies.”
That’s right. Robo advisor. In addition to the company’s funding announcement, Credit Sesame founder and CEO Adrian Nazari introduced new robo advisory technology that enables consumers to automate the management of their credit and loans. Credit Sesame sees this as “addressing the liability side of the balance sheet” rather than the asset side typically watched over by most robo advisors.
Credit Sesame CEO and founder Adrian Nazari demonstrating the company’s credit-based PFM solution at FinovateSpring 2015.
“While many companies have spent the last few years catching up to our free credit score offering for consumers, Credit Sesame has been developing and proving robo advisor technology.” Nazari said. He added, “this technology translates consumer financial and credit information into simple and actionable steps that consumers can easily understand and utilize to improve their financial profile and leverage their credit.”
Founded in 2010 and headquartered in Mountain View, California, Credit Sesame demonstrated its credit-based PFM for a co-branded environment at FinovateSpring 2015. With more than 12 million members, Credit Sesame’s mobile and online solutions give consumers free access to their credit profile, including their credit score, credit report grades and monitoring, as well as interactive tools and tips for securing better borrowing options such as low or no-balance credit card offers and debt consolidation loans.
Credit Sesame has achieved 100% annual growth for the past three years, reaching profitability earlier this year. This spring, the company launched a new service to pre-qualify members for credit cards. In February, Nazari was named to the Entrepreneur’s List of Most Inspirational Leaders in 2017, one month after earning similar recognition from Inc.com.
