BOSTON--(BUSINESS WIRE)--Lendbuzz, the AI-based fintech company that is transforming the automotive finance market, announced that it closed a $125 million credit facility with Royal Bank of Canada. The additional warehouse capacity will support continued loan origination growth.
The expansion increases the company’s capacity and ability to grow the number of borrowers its proprietary, AI based auto finance platform serves. The platform enables Lendbuzz to quickly and accurately assess the creditworthiness of consumers with credit scores ranging from good to non-existent. This group includes those with no credit and thin credit, as well as borrowers with near prime scores, a group that totals 100 million people in the US who have been historically underserved by the traditional credit system.
“Our ability to grow originations with credit worthy customers in the midst of tremendous shifts in both the automotive retail and financial industries is a testament to our continued focus on exceptional underwriting and credit decisioning. We are excited to begin our partnership with RBC and look forward to continuing to grow the relationship,” said George Sclavos, CFO of Lendbuzz.
Lendbuzz is an AI-based financial technology company that helps consumers obtain fair access to credit when purchasing a vehicle. Powered by alternative data and machine learning algorithms, Lendbuzz can assess the creditworthiness of consumers with limited credit history—a group underserved by traditional banks. Through their auto dealership partners, Lendbuzz offers consumers attractive financing solutions while opening up opportunities for those dealerships to serve a more diversified customer base. Lendbuzz is headquartered in Boston, Massachusetts and was founded in 2015.