So when Sankaet Pathak co-founded Synapse all the way through 2014, he had a vision of doing more than just building a construction that enables banks and fintech companies to easily develop financial services.
Cherished wanted to build a company that a lot of helped provide major access to finance to a larger pool of — regardless of their assets or their country with origin.
Over the years, San Francisco-based Synapse has steadily grown its Deposit Center, its product that is geared towards making it “faster and easier” for fintech companies up to launch and scale foundational financial products to their customers. Synapse’s banking-as-a-service platform provides rates, card issuance, deposit, accommodating, compliance, credit and venture products as APIs. With those white-labeled developer- and as a result bank-facing APIs, Synapse is going to make it easier for institutions to connect with banks, and in addition, in turn, for banks which will automate and extend recommended back-end operations. And that class of its business has been doing well. Approximately, for example , Synapse doubled it can be revenue, and this year, so far, provides increased it by 150%.
Today, the company is going one step further and announcing totally new platform — its Credit Hub , a full-stack API platform designed to permit fintech companies and neobanks a way to make credit lotions “easier and smarter” for everyday Americans. The platform was created to allow any company to build white-labeled credit products — which include card issuance, credit-building products, lending accounts and cashback rewards — in as little as two months.
Or, as Pathak puts it, “We want to democratize credit cards, so that the credit invisible will likely build, and get access to, borrowing. ”
In private beta so far, the company’s Credit Link has so far helped facilitate the issuance of one million credit card accounts, and the platform has extended more than $40 million dollars in credit.
Synapse is establishing its Credit Hub simply by leveraging the Masterc a rd network. With the Communication Credit Hub platform, firms can offer a “comprehensive” ste, of products, including card issuance, credit-building tools, accounts along with cashback rewards, among other things, Pathak said.
“We realized that no good solution lived for the credit market. Companies would have to piecemeal it together, ” Pathak said. “It gets a year or 18 months to plan products to market, at a minimum. Hence we’re taking the same acceleration and speed we brought to the residue space to the credit room so developers can democratize credit for everyday Us and hopefully in the future, throughout the world. ”
Synapse was founded appearing in 2014 by Bryan Keltner and Pathak, who found the U. S. outside of India to study but progressed frustrated at the difficulty of opening a bank account without U. S. social security history. Specifically, as an astrophysics grad student at the University of Tennessee, Pathak was denied a banking account that he applied for alongside an American colleague.
Right now, Pathak says he — as CEO and co-founder of a company that in 2019 raised over $33 million in a Series B funding round led by Andreessen Horowitz (a16z) –– considered himself one of the “credit invisible. ”
“Pretty much the American dream is to essentially get a house. But If you’re a person who is credit invisible, you cannot get yourself a house. I could not get a house in America — and I’ve done decently well for myself — because I’m an immigrant, ” he said.
But of course, the underbanked doesn’t just include immigrants. It also includes minorities and other populations who have been caught in a cycle of not having access to certain banking services, including credit. He said that the target is that people with little to no financial expertise usually takes financial services to market. That’s not the case with other providers that require more expertise to get products and services to market, he said.
The Synapse Credit Hub, he said, specifically supports a new class of flexible, personalized accounts, cash advances and lines of credit for businesses, and increases access to credit-building and borrowing services for end-users. The platform also gives companies the ability to go to market in as little as six weeks with “out-of-the-box” access to multiple bank partnerships; a full suite of KYC and card issuance features; and the full stack of payment tools, including ACH, checks, wires, bill pay and card processing.
“Until now, nobody could provide a comprehensive solution that enables the developer to go live with a feature-rich credit product in just weeks, ” Pathak said. “We created Synapse to democratize and drive innovation in fintech, and our Credit Hub operates alongside our deposit products and services to provide a full-featured digital banking experience. ”
The various types of credit accounts that can be built using Credit Hub offer different services, such as a credit card, a spend card, buy now, pay later and the capacity to issue one-time or revolving loans to enable customers to construct credit.
“Synapse shares in Mastercard’s commitment to offering and delivering a frictionless payments experience that is easy to access and always on, ” wrote Sherri Haymond, executive vice president of digital partnerships at Mastercard via e-mail. “With their Credit Hub platform, Synapse is enabling partners to accelerate the launch of credit products, allowing new solutions to go to market in just a matter of weeks instead of months. We’re pleased that Synapse is leveraging the Mastercard network to make credit products more accessible. ”