Rebecca Bacon has loan paper to sell. Billions of dollars of paper.
That’s because she works with Upgrade, a San Francisco-based fintech that issues credit cards, makes auto loans, writes personal loans and then it sells the paper to some 200 financial institutions, mainly credit unions says Bacon.
Most are big – she names Pen Fed as a buyer – but Upgrade also works for small institutions too.
If you want memberized paper, Upgrade is a provider.
The company says on its website: “Our credit union partners utilize our flexible balance sheet solutions to solve for margin compression, balance sheet diversification, liquidity management, and income replacement.
“We have facilitated $24 billion in loans, including over $9.5 billion in 2022 alone.”
It’s no news to you: many fintechs want to eat your lunch.
Upgrade wants to share its lunch with you.
Implementation of the tech is fast and easy, says Bacon. She explained that most FIs are active inside 30 to 60 days.
And she estimates Upgrade has memberized around one million people.