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Method powers a number of repayment features in fintech apps.Image Credits:Method
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It can be challenging for developer of fintech apps to mix quittance , equipoise transfer , and banker’s bill yield functionality . Devs often have to deal with a patchwork of brittle screen - scraping genus Apis to take out data point from users ’ financial institutions — or worse , tools to sue mounds of physical check and paperwork .
Three friend and entrepreneurs — Jose Bethancourt , Marco del Carmen , and Mit Shah — tell TechCrunch that the blockers can be dealbreaking , particularly for modest fintech teams . To attempt to overcome them — and help others do the same — the trio launchedMethod , a platform that powers debt and debt repayment feature in fintech applications .
“ Jose and Marco have at first hand the challenge of financial score connectivity while building their first ship’s company , GradJoy , a Y Combinator - back startup , ” Shah told TechCrunch . “ GradJoy aimed to simplify student loan direction , but Jose and Marco quickly realized the restriction of existing account connectivity organisation . ”
Method work by leverage consumer course credit access protections enacted into law as part of the 2010 Dodd - Frank Act . By tapping into identity substantiation data from credit bureaus and telecom company and compound it with information from core banking systems , Method can combine a person ’s debts and perform equilibrium transfers , Federal Reserve note wage , and payoffs and on their behalf .
Fintech developer can build up the technical school into their apps using Method ’s API . All a user of those apps has to do is provide their phone number .
Method , which come out from stealing in 2021 , now supports over 30 million account connections for 4 million users , and has facilitated over $ 500 million in indebtedness repayments to date .
Method handles a peck of sensitive data , which might give some users pause . But Shah claims that Method collects only “ minimum exploiter information ” and does n’t sell data to third party . The company is also contrive to launch a hepatic portal vein where user will be able to sign in to manage data they ’ve shared with Method customers .
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Method compete with big vendors like Plaid , MX , Spinwheel , and Dwolla . But many of these rely on systems that ask user to get in their financial bill certificate , Shah say , which he reason can be a point of friction .
“ Method is support 1000000 of Americans on their fiscal journeys while helping loaner and fintechs like SoFi , Aven , Happy Money , and Figure increase conversion with better substance abuser experience and engagement , ” Shah continue . “ Consumers do not have to re - authenticate multiple times for unlike account , and once Method remember a consumer ’s liabilities , they can pay those liabilities using Method ’s payment railing . ”
Method recently add reinforcement for credit rating cards ; it underpins Bilt ’s acknowledgment card associate prick , which lets Bilt customers connect their cards to invite points on eligible purchases . In the near future , Method plans to intensify its banking relationships and roll out quotation bill of fare connection integrations for retail and travel customers .
“ Many shoppers are n’t comfortable store their circuit board contingent or are unwilling to take the time , ” Shah said . “ Method present client and repeat shoppers with their current credit board pocketbook — including each and every active quotation card they hold — just with the entry of their name and phone number . With Method ’s root , the merchandiser has great influence over the checkout experience and can better understand customers across canal and cards with the full wallet visibleness . ”
To fund this product maturation , 35 - employee , Austin - free-base Method raise a $ 41.5 million Series B circle led by Emergence Capital with participation from Avra Capital , Samsung Next , Andreessen Horowitz , Y Combinator , and Ardent . The new cash brings the company ’s total raised to ~$60 million .
