Method Financial, a provider of consumer permissioned financial connectivity, announced it raised $41.5 million in its latest Series B funding round led by Emergence Capital with participation from avra and Samsung Next, and existing investors Andreessen Horowitz, Y-Combinator and Ardent Venture Partners. This funding brings the company’s total to $60 million.
Method now powers over 60 fintech and consumer lending clients, such as SoFi, Figure, Aven, Happy Money, and Bilt Rewards. Since its launch, Method has enabled 30 million passwordless account connections for 4 million consumers. And the company has also facilitated over $500 million in liability repayments, helping customers deliver competitive lending and financial products and end users save on interest and fees.
Method’s APIs also redefine financial connectivity with real-time, read-write, and frictionless access to consumer liability data with integrated payment rails. Method leverages integrations with 15,000+ financial institutions to stream up-to-date, high-fidelity data from users’ accounts and facilitate payment. Method’s approach utilizes identity-based authentication and consumer consent instead of usernames and passwords for a near-frictionless experience and a 15% to 30% conversion boost.
This funding round enables Method to accelerate its end-to-end loan refinance automation delivery and expand into use cases unlocked by deeper card network integrations. Now Method primarily helps fintechs and lenders increase refinancing revenue by increasing offer personalization, boosting user engagement through real-time insights, and accelerating line utilization through seamless loan payoffs and balance transfers.
Method has also further seen strong market demand for its new credit card connectivity solution, Card Connect, and its transaction-level data, a testament to the composability of its APIs. And since launching Method Card Connect for Bilt Rewards, 2 million users have connected 10 million cards in seconds and can receive points on eligible purchases. With the additional funding, Method plans to deepen its banking relationships to deliver more competitive financial products and seamless experiences, expand credit card network integrations to streamline checkout and make digital engagement solutions more rewarding.
KEY QUOTES:
“Method’s strength lies in the broad usability of its data and payment products across a wide range of industries and verticals. Initially, Method enabled lenders to offer competitive financial products by providing real-time visibility into consumer debts. Now, they are increasingly expanding their reach, supporting new use cases like card linking and new verticals like retail and travel. We are thrilled to partner with Jose, Mit, and the Method team.”
– Anu Hariharan, Managing Partner of avra
“Method is revolutionizing financial management by providing real-time, comprehensive views of consumer debts, essential for making informed financial decisions. Their innovative solutions seamlessly integrate with financial platforms, enhancing the user experience and driving engagement. We are excited to support Method as they empower consumers and transform the fintech landscape.”
– Carlotta Siniscalco, Partner at Emergence Capital
“Our latest round of funding will help us build on Method’s already strong growth trajectory. Our team takes immense pride in supporting millions of Americans on their financial journeys while helping lenders and fintechs increase conversion with better user experience and engagement. As we serve new markets with our growing data and payment capabilities, we are thrilled to collaborate with Emergence and avra, as well as our existing investors, including Andreessen Horowitz, YC, and other leading stakeholders in fintech.”
– Jose Bethancourt, co-founder and CEO of Method
