Kastle has raised $24 million in Series A funding to expand its AI workforce platform for banks and financial institutions, beginning with consumer lending.
Insight Partners led the round, with continued participation from Y Combinator and Commerce Ventures. Fifth Wall and a group of founders and financial services executives joined as new investors.
Kastle is developing specialized AI agents that can operate across the legacy core systems already used by large financial institutions rather than requiring banks to replace those systems with an entirely new AI-native technology stack.
The company said its agents have already processed more than $1.8 billion in transactions while performing operational work for major enterprises and banks.
Kastle sees existing infrastructure as one of the largest obstacles preventing financial institutions from adopting AI more broadly.
Replacing core banking systems can require years of complicated migration work, while adding conventional AI assistants on top of those systems may automate only a limited portion of operational workflows.
Kastle’s approach is to deploy agents capable of working directly across existing systems, executing high-volume tasks and keeping systems of record updated.
The platform is designed around hybrid operating teams.
AI agents can handle high-volume and repeatable work while employees concentrate on cases requiring judgment, expertise, customer relationships and empathy. The agents operate within existing processes and controls to maintain oversight and regulatory compliance.
Kastle’s initial focus on consumer lending reflects the complexity and volume of operational work across loan workflows, where financial institutions must coordinate fragmented systems while meeting regulatory, service and risk-management requirements.
The company will use the Series A to expand engineering, product and go-to-market teams, strengthen its platform and accelerate deployments with banks and other financial institutions across North America.
KEY QUOTES:
“For years, enterprises have effectively been presented with a false choice: accept the limitations of legacy operations or endure a long and risky replacement of the systems at the heart of their business. Kastle creates a third path. We give financial institutions an AI workforce that can operate across the systems they already have, so they can capture the benefits of AI now—not five years from now.”
Rishi Choudhary, Co-Founder and CEO of Kastle
“Financial institutions do not need another layer of software that creates more work for their teams. They need AI that can reliably complete the work while ensuring compliance. Kastle deploys AI agents that can navigate complexity, pass the bar on regulatory rigor, and get high-stakes work done without waiting for a multiyear transformation.”
Rebecca Liu-Doyle, Managing Director at Insight Partners
