The Los Angeles based Software Company Zest AI raised US$15 million funding on 21st October 2020 led by Insight Partners. With the new funding, the Managing Director of Insight, Lonne Jaffe will join Zest’s board of directors and Vice President of Insight, Jon Rosenbaum will serve as Board observer.
The change by the investment
The company intends to use these funds for hastening the adoption of Management System Model for creation deployment of powerful, compliant and explainable credit underwriting models based on Artificial Intelligence. The funding will also be invested to drive more cutting edge technologies and standards revolving around algorithmic fairness.
Zest Software is helpful for credit unions and banks to cross the boundary of statistics and data to recognize good borrowers whom the legacy techniques often ignore. The corporations, banks and credit unions that use the Zest-developed models can see an average of 20% increased approval rates with no added risks and up 50% decreased charge-offs by the use of their own statistics and advanced math of ML.
The investment put into the company will also boost Zest’s fair loaning software, the emerging standard in the lending industry for de-biasing credit underwriting models so that more borrowers of color can be approved safely.
The Managing Director of Insight Partners, Deven Parekh said, “The team at Zest has deep domain expertise for both explainable AI and lending and this has led to the development of the strong market fit product. However, the opportunity to bend the lending landscape towards inclusion and equity excited us more”.
About Zest AI
The financial service company Zest AI builds software for credit underwriting. The lenders can use the Zest AI software to reach better decisions, increase loan revenue, automate compliance and reduce risk. The enterprise was founded in 2009 by Shawn Budde, Kumar Dhuvur and Douglas Merrill. It makes the incredible power of Machine Learning get safe to use in credit underwriting. It was founded with the mission of making credit available in a fair and transparent way for everyone and is among one of the fastest rising FinTech software enterprises.
About Insight Partners
Insight Partners is a Private Equity Firm in the software industry. The Venture Capital founded in 2009 by Jerry Murdock and Jeff Horing invests in Private Equity, Seed, Late Stage, Early Stage and Debt Ventures. It has around US$20 billion assets under management and has invested in more than 300 companies.
We try our best to fact check and bring the best, well-researched and non-plagiarized content to you. Please let us know
-if there are any discrepancies in any of our published stories,
-how we can improve,
-what stories you would like us to cover and what information you are looking for, in the comments section below or through our contact form! We look forward to your feedback and thank you for stopping by!
