A credit lending platform is losing "credit."
Today, AvantCredit, in a reflection of its expanding product offerings, is rebranding to Avant. No longer just a lending service, the three-year-old Chicago startup is evolving into a holistic consumer financial platform.
Representing this evolution, Avant also announced its acquisition of ReadyForZero, a provider of planning software. The deal allows Avant to couple the latter's debt management tools with its own new credit monitoring service, enhancing its suite of financial products. ReadyForZero, for example, has successfully helped consumers pay down $220M in debt to date, as well as reducing net-credit losses at top U.S. banks.
Avant's rapid growth - the startup has raised over $1B and grown to 600 employees since its 2012 launch - is due to its flagship product, a credit lending platform that uses big data and machine-learning algorithms to improve and streamline the way consumers borrow money. The technology that fuels this platform will be applied to the company's growing list of financial tools.
“We are committed to creating innovative and practical financial products and services to empower the everyday consumer,” said Co-Founder and CEO Al Goldstein in a statement. “We are excited to bring a new level of personalized service to our customers and to enrich our mission of lowering the costs and barriers of borrowing.”
In 2014, Avant was Chicago's most funded startup and added Peter Thiel, PayPal co-founder and serial entrepreneur, as a backer. In the year-and-a-half since its first loan, AvantCredit has surpassed 100,000 customers, increasing quarterly loan volume by 500%. The company has also expanded to the U.K. and LA and expects to employ 1,000 workers by the end of 2015.
Despite the name change, the startup deserves credit for its growth.
(Image via Avant)
