Kyckr Deepens Relationship with Citi

Kyckr Deepens Relationship with Citi

Regtech company Kyckr, which first partnered with its client Citigroup in 2016, has extended its relationship with the bank. Kyckr announced today that it will now provide Citi Commercial Bank with its client verification platform.

Kyckr’s verification platform has information on more than 200 company registries and 170+ million legal entities across 120 countries. Citi Commercial Bank will use the company’s API to verify business information using documents that detail ownership and control, financials, solvency, and more when onboarding new commercial clients.

“Onboarding new clients when opening a bank account is the first stage in customer verification, involving gathering vital information on the customer and conducting identity checks to comply with Know-Your-Customer regulations,” said Kyckr CEO Ian Henderson. “More and more businesses are looking into automated and accurate means of adhering to Anti Money Laundering and Know Your Customer obligations to prevent fraud, and this is where our technology is well positioned in the market.”

Along with Citi Commercial Bank, Kyckr also serves Citi’s Institutional Clients Group (ICG) and Trade and Transaction Services (TTS) with its corporate data solutions.

Kyckr has provided APIs and cloud-based automated decision engines to help companies with KYC compliance, due diligence, and customer onboarding since it was founded in 2007. The Australia-based company is listed on the ASX under the ticker KYK and has a market capitalization of $10.85 million (AUD $16.9 million). Since going public, Kyckr has raised $11 million in post-IPO equity.

In addition to Citigroup, Kyckr’s clients include DemystData, the Bank of Ireland, and others.

Three Ways Digital Identity is Combating the COVID-19 Crisis

Three Ways Digital Identity is Combating the COVID-19 Crisis

Technology companies from every corner of the globe have been lending their talent, resources, and solutions to help deal with the health and economic implications of the COVID-19 crisis. While those firms in health technology have obviously played the lead role, innovators in virtually every field of technology are bringing their unique expertise to the challenge.

Here are three ways that companies specializing in digital identity and identity management are helping organizations, institutions, and individuals manage the global pandemic.

Know Your Carrier

One of the key ways that countries like South Korea have “flattened the curve” of the pandemic is through an approach called “test and trace.” This strategy relies on accurately identifying those who have the coronavirus and then tracking down all those individuals who have had contact with the infected individual so that they can be tested for the virus.

For example, In China, in addition to temperature checks outside of public places like restaurants, officials are leveraging smartphones and QR codes to identify those who are infected with the virus, and to track their recent movements to locate others who may have been in contact with the infected person. In the West, the news that Apple and Google are collaborating to develop a contact tracing solution that will help us meet this specific challenge is a positive sign. Yet as hopeful as this opportunity may be, it is not without caveats.

“It’s really important to get the cooperation of the public,” Recode Executive Director Kara Swisher told CNBCs Squawk Box Monday morning during a discussion on the Apple/Google initiative. She flashed her sleep and activity-tracking Oura ring, noting that wearables could be among the mobile technologies that could be used to make contact tracing as seamless as possible. “More power to the tech companies means more power to the tech companies,” she said. “The only question is will they give it back when this is over?”

Know Your Customer

Getting money into the hands of unemployed and furloughed workers is one challenge. Getting money into the bank accounts of businesses forced to close their doors during this period of quarantine and social distancing has proved, in some ways, to be an even steeper challenge. Many in the small business community were caught off guard, for example, when they learned that in order to access federal COVID-19 relief funds they would need to have a relationship with a participating financial institution.

The issue is that, even in an emergency, knowing your partner is paramount. And in order for banks to be financially responsible, they need to pursue the same measure of KYC diligence on applicants for emergency funding as they would for any other banking customer. To fail to do so would leave these institutions vulnerable, potentially, to massive fraud losses – turning an already challenging environment for banks even worse. Making it easier for financial institutions to engage needy SMEs by leveraging many of the innovations in Big Data and advanced machine learning – while remaining compliant and financially responsible – is a slam dunk opportunity for a sizable number of fintechs.

This is a reminder that regtech may not be appear to be the most important subsector within financial technology. But in the same way that the global pandemic is causing us to think as much about epidemiologists as we do about emergency room doctors, the current challenge in KYC also reminds us of how important innovations in regtech are not only within technology, but also for society as well.

Know Your Crew

While many are understandably eager to “re-open the country,” it remains likely that thousands of workers will continue to work remotely – at least in the near term. This phenomenon has been a boon for companies like Zoom that provide technology that enables online conferencing and makes it easier for workers who do not traditionally work from home to do so.

One major challenge for these newly-homebound employees is ensuring that they are logging into their company’s networks and platforms in a safe and secure manner. Beyond having the infrastructure to support remote work, having the capacity to authenticate legitimate remote workers, and to make sure that the data they are transmitting back and forth remains out of the hands of hackers and cybercriminals is critical.

Indeed, one of the discontents of the “Zoom Boom” is that many people using the platform have raised major privacy concerns, including reports that Zoom conferences have been infiltrated by hackers, interrupting live presentations with obscene images.

As with KYC, this is another area where fintech’s regtech calvary is coming to the rescue. Firms like Onfido and Jumio, among many others, have made their identity verification technologies available for free to organizations and institutions in the health and home care fields that are on the frontlines of the fight against the virus.

Visa and Fold Offer Co-Branded Card with Crypto Rewards

Visa and Fold Offer Co-Branded Card with Crypto Rewards
Photo by Miguel Á. Padriñán from Pexels

Payments giant Visa has teamed up with Atlanta, Georgia-based Fold to launch a co-branded debit card that offers rewards in the form of bitcoin. The partnership was announced late last week, and is the fruit of Fold’s participation in Visa’s Fintech Fast Track program.

The new debit cards are expected to be available in July. Users will get up to 10% of their cash purchases credited in Bitcoin. What’s unique about Fold’s approach with the new card is that it enables users to earn Bitcoin while spending in dollars. As Fold CEO and co-founder Will Reeves explained, by spending in dollars and accumulating Bitcoin rather than spending it, users avoid the potential tax implications of selling the digital asset.

This new initiative extends Fold’s business beyond enabling shoppers to buy dollar-denominated gift cards from popular brands like Amazon, Uber, and Starbucks with Bitcoin. Made available on an “early access” basis last fall, the Fold app also gives consumers 20% cashback in bitcoin on all purchases, fiat or crypto.

“We’re changing the fact that rewards points are issued in the form of restricted airline miles, arbitrary points, or depreciating fiat, instead of the best performing asset of the last decade: bitcoin,” Reeves wrote on the company blog back in September. “But unlike existing rewards that require users to give up their privacy for points, Fold’s new app rewards users for shopping privately.”

The partnership is a second bite at the bitcoin apple for Visa. A year ago Visa and cryptocurrency exchange Coinbase introduced a Visa debit card in the U.K. The contactless card syncs with the user’s Coinbase account and, for a fee of approximately 2.5%, enables users to make purchases in fiat currency and have the responding amount of the cryptocurrency debited from whichever cryptocurrency account the users selects.

Fold was founded in 2014. The company has raised $3.3 million in funding, and includes Craft Ventures, CoinShares, Slow Ventures, Goldcrest Capital, and Fulgur Ventures among its investors.

Goldman Sachs Launches POS Financing Product

Goldman Sachs Launches POS Financing Product

With citizens across the globe finding themselves in a financial crunch, Goldman Sachs’ new product may be coming at just the right time. The investment bank launched a point-of-sale (POS) financing solution that will help users pay for larger purchases over time.

The POS tool, MarcusPay, helps borrowers afford items ranging from $750 to $10,000 by paying for them over the course of 12 to 18 months. Goldman Sachs doesn’t require any money down and there are no fees for purchases made with MarcusPay. The interest rates for MarcusPay purchases range from 10.99% to 25.99% APR. These rates are competitive with those of credit cards, which average just over 15% APR.

Goldman is piloting MarcusPay with JetBlue Vacations, a partnership that was formed before the recent pandemic quashed any and all vacation planning.

Aside from the launch partner fumble, MarcusPay faces a few more hurdles to compete with companies such as Sezzle, Affirm, and Klarna, which have been gaining traction in the U.S. in the POS financing space for the past few years.

The first issue is that MarcusPay requires users to apply for financing during the transaction flow. The extra hurdle of filling out an application in the middle of the purchasing experience may be enough for users to abandon the purchase altogether. Second, the popularity of POS financing is due, in large part, to millennial consumers that do not have a credit card. This is quite different from Goldman’s target market, which is primarily comprised of mass affluent consumers. Additionally, the POS financing product may result in cannibalization– that is, Goldman’s credit card holders may opt to use the POS financing product instead of their credit card in order to benefit from a potentially lower interest rate.

The one benefit that MarcusPay has in competing in the POS financing space is that its service is generally geared toward financing larger purchases.

Xignite Secures Patent for Market Data Driven Alerts; eXate Earns Accelerator Spot

Xignite Secures Patent for Market Data Driven Alerts; eXate Earns Accelerator Spot

Market data distribution and management solutions provide Xignite has scored a patent for the technology behind its CloudAlerts REST API. The patent recognizes the company’s innovation in developing real-time alerts based on pre-defined stock market conditions. This technology can be added to website or mobile apps by developers to provide users with real-time, automatic notifications on everything from price breakouts to volume surges via SMS, email or onscreen.

What’s unique about Xignite’s approach is the way it is able to deliver market data-driven user alerts at scale, incorporating both the wide variety of user preferences as well as processing a sizable volume of exception conditions in real-time. Fellow Finovate alum SoFi leverages Xignite CloudAlerts in its SoFi Invest service, using the technology to warn investors when a portfolio holding drops below critical levels.

“SoFi saw record investing activity last week during the coronavirus outbreak and that really tested our alerts system,” SoFi Trading and Investment Manager Samuel Nofzinger said. “Our customers value the alerts because they help them invest and protect their money better, especially in today’s volatile market.”


Congratulations to eXate Technologies. The U.K.-based cybersecurity firm – and FinovateEurope 2018 alumearned a spot in Tech Nation’s Cyber 2.0 growth program. This year’s class marks the second cohort for the program, which is geared toward early-stage cybersecurity startups. Companies participating in the six-month accelerator get peer-to-peer learning with program mentors, masterclasses led by expert scale coaches, as well as meetups and networking with peers, investors, and potential clients.


Add Onfido to the list of Finovate alums that are pitching in to help organizations manage the COVID-19 pandemic. The company announced late last week that it is offering six free months’ use of its biometric identity solution to nonprofit organizations that are fighting the coronavirus. Nonprofits in healthcare, home care, and education are among those to benefit from the program, including a company that uses Onfido’s technology to verify completion of COVID-19 testing.


The Finovate Podcast is on fire! If you’ve not been able to keep up, here are links to the latest conversations with host Greg Palmer.


Here is our weekly roundup of news from our Finovate alums.

  • FreeAgent partners with NatWest to offer its customers online cloud accounting software.
  • Zogo Finance drops app set-up fees for its credit union customers in Louisiana.
  • Ellie Mae announces general availability of peer benchmarking comparison analysis solution, Ellie Mae Insights.
  • Baker Hill launches NextGen SBA Fast Track to help SMBs access CARES Act and Paycheck Protection Program (PPP) funds.
  • Temenos wins Google Cloud Technology Partner of the Year award.
  • NYMBUS teams up with NCR Corporation to help SMBs impacted by COVID-19.
  • University First FCU brings on Insuritas to launch a digital insurance agency.
  • Artegence and Efigence become Magnolia Platinum Partners.
  • Kabbage partners with an undisclosed bank to deliver Paycheck Protection Program (PPP) loans to U.S. small businesses.
  • Moven founder Brett King hints at partnership with Varo Money, encourages users to open an account.
  • ShopKeep and Lendio partner to help small businesses access COVID-19 funds.
  • ATFX now accepting payments via Trustly.
  • ACI Worldwide unveils new “Delay My Payment” feature of its ACI Speedpay solution to help billers and consumers during the COVID crisis.
  • DriveWealth launches DriveHSA, a new tool for Health Savings Account platform providers.
  • Kasasa sees a 288% increase in borrowers using its Take-Back feature.
  • Stash now counts one million banking customers.
  • MX launches portal for banks navigating the Small Business Administration’s new Payment Protection Program.
  • Credit Hero leverages Salt Edge to access borrower’s bank data.
  • Finanteq introduces new initiative to provide free digital banking tools – Pocket Branch and Extentum – to banks during the coronavirus pandemic.
  • Bankjoy hosts online summit to address how credit unions and fintechs can partner to respond to the economic challenges of COVID-19.

Finovate Alumni Features and Profiles

The Importance of Financial Literacy During Uncertain Economic Times – A growing number of fintechs – many of them Finovate alums you’ll meet below – have devised innovative ways to help young people in particular, become better earners, savers, spenders, and investors.

Kabbage Collaborates with Facebook to Back Retailers During the COVID Crisis – Together, the two companies will help merchants continue to generate revenue at a time when their customers – for sound reasons based on public health – are largely staying away.

SoFi Inks Agreement to Acquire Galileo Financial Technologies – In a cash and stock deal valued at $1.2 billion, online lender and personal finance innovator SoFi has agreed to acquire financial services API and payments platform, Galileo Financial Technologies.

Building a Financial Advisor for Main Street America – We recently chatted with SuperMoney founder and CEO Miron Lulic to give us an update on the company’s platform that helps consumers reach their financial goals.

BankBazaar Adds $3.8 Million to Series D – The capital comes from Amazon and Walden SKT Venture Fund, who have joined Sequoia, GUS Holdings, and Eight Roads Investments in the round. 

Aussie! Aussie! Aussie! Challenger Banks Down Under Raise Capital Amid Crisis

Aussie! Aussie! Aussie! Challenger Banks Down Under Raise Capital Amid Crisis

What a week it’s been for the challenger bank business in the Land Down Under!

Australian small business challenger bank Judo just announced a major fundraising, securing an investment of $307 million (AUD 500 million) from a pair of Australian government agencies.

The Australian Office of Financial Management (AOFM) and the Australian Structured Finance Support Fund (SFSF) contributed equally. The investment makes Judo the first recipient of funding from Australia’s two-billion dollar small business funding program. The program was initially designed in 2018 to help promote competition between the country’s major banks and to provide more financing opportunities for the country’s small business.

“At a time when the availability of credit has never been more important to tens of thousands of Australian SMEs, Judo is delighted to be able to announce such a substantial investment by the AOFM,” Judo co-founder and co-CEO David Hornery said.

The country’s first SME-oriented challenger bank, Judo earned its full banking license just under a year ago. This spring, Judo announced securing a three-year, $350 million credit facility with Citi. The challenger bank has a deposit book of $860 million (AUD 1.4 billion).


An infusion of capital from the private sector has boosted the coffers of fellow Australian challenger bank 86 400. The firm announced this week that it has raised $20.8 million (AUD 34 million) in new funding in a round led by Morgan Stanley.

The Series A round takes 86 400’s total capital to $57 million (AUD 90 million). Also participating were an Australian superannuation fund, high net worth investors and family offices, as well as fund managers.

“At our current rate of growth, we should hit 500,000 accounts on the platform in the next 12 months,” 86 400 CEO Robert Bell said. “Of course, that will be balanced by growing the lending side of our business and we anticipate having a mortgage book of close to $2 billion by the end of 2021.”

86 400, which bills itself as “Australia’s first smartbank,” launched in September of last year and currently has more than 170,000 accounts on its platform. With more than 350,000 transactions and balance updates processed daily, and a mortgage book of $20 million, 86 400 currently offers two accounts – Pay and Save – that make spending convenient and incentivize savings.


Here is our weekly look at fintech around the world.

Middle East and Northern Africa

  • Mamo Pay, a Dubai-based fintech developing a P2P payments app, raises $1.5 million in seed funding.
  • Saudi Arabia’s Halalah attains e-money institution license after graduating ahead of schedule from its sandbox trial period.
  • UAE-based fintech Rise locks in growth funding believed to be in excess of $1 million.

Central and Southern Asia

  • Fintech News takes a look at the “10 Fastest Growing Fintechs in India.”
  • BusinessWorld India examines the role of fintech in driving the digitalization trend in India.
  • Pakistan Today features American fintech entrepreneur Brandon Timinsky and his efforts to launch SadaPay in Pakistan.

Latin America and the Caribbean

  • Cryptonews looks at the impact of the coronavirus pandemic on Mexican fintech.
  • Contexto sees more fintechs in Chile’s future, courtesy of a new global entrepreneur network, Endeavor.
  • Latin American on-demand delivery startup partners with Arcus to launch new payment app, RappiPay.

Asia-Pacific

  • Hong Kong fintech Neat raises $11 million in Series A featuring participation from Visa among other investors.
  • HSBC goes live with its Smart Mobile Onboading for customers in China.
  • Hong Kong-based online lender Credit Hero partners with Salt Edge.

Sub-Saharan Africa

  • South Africa’s Vodacom and Kenya’s Safaricom conclude acquisition of mobile money platform, M-Pesa.
  • Senegalese mobile network operator, Free, deploys Comviva’s mobiquity Money solution.
  • South Africa’s Intergovernmental Fintech Working Group (IFWG) unveils new innovation hub.

Central and Eastern Europe

  • Russian payments platform Qiwi picks up investment from Japan’s SBI.
  • Germany corporate pension and life insurance digitization company Xpension raises $27 million (EUR25 million) in Series C funding.
  • Fintechs innovating in ecommerce, payments, and real estate populate EU Startups’ look at top 10 Romanian startups for 2020.

Top image designed by Freepik

BankBazaar Adds $3.8 Million to Series D

BankBazaar Adds $3.8 Million to Series D

Indian online financial products marketplace BankBazaar has boosted its current Series D round by $3.8 million. The capital comes from Amazon and Walden SKT Venture Fund, who have joined Sequoia, GUS Holdings, and Eight Roads Investments in the round. This week’s investment adds to the $30 million in Series D funds BankBazaar raised in 2017. Fellow Finovate alum Experian is the lead investor in the round.

The investment is also the second time Amazon has put capital in the company, having contributed $60 million to BankBazaar’s Series C round in 2015. The company’s total funding stands at north of $115 million.

BankBazaar offers consumers instant customized rate quotes on financial products like loans, mutual funds, and insurance. BankBazaar’s platform enables shoppers to compare offers and apply for products online as well as via its mobile app. More than 50 of India’s top financial companies and insurance firms are featured on BankBazaar’s platform, which also provides information on personal finance trends and tips on how consumers can manage their finances better.

Founded in 2008 and headquartered in Chennai, India, BankBazaar has been a Finovate alum since 2012 when the company demoed its real-time credit processing platform. Last year, the company announced a partnership with furniture and home products marketplace Pepperfry, teamed up with Ujjivan Small Finance Bank for Personal Loans, and added business cards to its offerings courtesy of a collaboration with Yes Bank.

Earlier this year, BankBazaar CEO Adhil Shetty told LiveMint that the company was “on track” to reach profitability in fiscal 2020 and that he was looking to take the company public “in the next few years.” He added that the company has more than 40 million registered customers and recently experienced an average 46% gain in monthly revenue. This was immediately before the challenge of the coronavirus pandemic became clear to many, a topic the company addressed in an open letter last month.

“Digital demand is only going to increase as consumers seek to minimize all physical interactions during and post COVID-19 and we are working on a war footing to ensure people get safe digital access to credit,” Shetty wrote along with co-founders Arjun (COO) and Rati (CPO) Shetty. “We are actively working with leading industry bodies and lenders to develop deeper digital access, something that will become the new normal in a post COVID-19 world.”

Building a Financial Advisor for Main Street America

Building a Financial Advisor for Main Street America

We recently chatted with SuperMoney Founder and CEO Miron Lulic to give us an update on the company’s platform that helps consumers reach their financial goals.

Miron, who strives on “creating something from nothing,” founded SuperMoney in 2013. The California-based company has raised $1 million and topped $2 billion in loan requests on its platform last August.

SuperMoney’s mission is to help Americans reach their financial goals. Tell us a bit about how you do that.

Miron Lulic: SuperMoney offers the most comprehensive, transparent and objective resource to compare financial services. There are a lot of personal finance blogs that write articles for whatever service is offering the best payout. SuperMoney is built as a platform to help find any financial product or service. The content found on our product profiles are dynamically generated based on stored data attributes. We are better than anyone at giving people the facts. Our community members provide a qualitative dimension about their experiences by indicating whether they would recommend or not recommend a service. These two dimensions combined help people make better financial decisions.

Furthermore we’ve made it easy for people to get competing personal loan, auto loan, auto refinance, and student loan refinance offers through our loan offer engine. We’re tightly integrated with all the leading online lenders so that consumers can submit a single application and get real loan offers back in real time.

Lastly, we provide a lot of financial education content that is financial goal focused. We are diligently working on expanding our ability to give people actionable advice that goes beyond basic content.

SuperMoney helps users with a handful of financial goals– from buying a house to getting out of debt. Which of these goals is most popular among your user base?

Lulic: Getting out of debt is the most common goal among our users. Our platform helps consumers find the best financial strategies for their unique circumstances. In some cases, that means refinancing credit card debt with a debt consolidation loan. For others, it might mean talking to a credit counselor.

We like to refer to ourselves as the “Financial Advisor for Main Street America.” Most Americans are not looking for help with tax loss harvesting strategies. They are looking to get out of debt, establish savings, and eventually buy a home. We are building the tools to help tackle these basic goals.

What is SuperMoney’s business model? How do you make money?

Lulic: We sometimes, (but not always), receive compensation when we refer users to financial service providers found on our website. This is similar to the model sites like Nerdwallet and Credit Karma use. The difference is that our unified platform provides the tools to compare a wide selection of financial services in an objective way, not just the ones that provide us with compensation.

In 2018, SuperMoney launched a product to help small businesses offer POS financing options to their clients. Do you plan to extend this further, for example, to larger businesses or to online retailers?

Lulic: Yes, we are in the final stages of launching an exciting new service that will open our financing platform up to a broader set of partners. We hope this will help millions of new users make smarter and more informed choices.

What’s next in the innovation pipeline for SuperMoney?

Lulic: We feel there is a huge opportunity to leverage artificial intelligence in the financial advice and planning arena. This is already happening in the investment sector with roboadvisors and AI-powered analysis. Yet, we have hardly scratched the surface when it comes to personal financial planning for everyday consumers. Our goal is to simplify the experience and provide smarter suggestions to users who are looking for basic financial advice.

How Accusoft’s FormSuite for Invoices Puts Machine Learning and RPA to Work

How Accusoft’s FormSuite for Invoices Puts Machine Learning and RPA to Work

This is a sponsored post by Accusoft. For more information on sponsored contributions please email [email protected].

Machine Learning continues to dominate conversations across the fintech ecosystem, but one aspect that rarely gets into the limelight is where the data to train the algorithms actually comes from.

Finovate sat down with Tracy Schlabach, Senior Manager, Product and Customer Marketing at Accusoft to discuss the company’s latest technology, the data challenges they overcame, and why having a symbiotic relationship with their clients drives their strategy.

Finovate: Give us an overview of what FormSuite for Invoices does.

Tracy Schlabach: FormSuite for Invoices is a toolkit for developers that are building invoice processing software solutions. FormSuite for Invoices does the heavy lifting of invoice processing, solving the hard part of finding and extracting data, such as invoice number, purchase order number, total due, line item quantity, line item description, and other data. It is configurable by the developer to extract the data specific to their needs.

Finovate: What are the technical differences between FormSuite for Structured Forms and FormSuite for Invoices?

Schlabach: FormSuite for Structured Forms deals with fixed forms, where the location of the information doesn’t move, such as a tax form, while FormSuite for Invoices deals with what we call semi-structured forms since the locations of certain values might move around the page based on the data.

For example, the “Total Due” field would move down in an invoice that has more line items. While FormSuite for Structured Forms does use AI to identify which form was passed in and to extract the data, the AI is more limited than what is required to process more dynamic content such as invoices.

FormSuite for Invoices uses some of the latest machine learning (ML) to be able to extract data from the line item tables found in invoices. This type of ML is what you hear about most often these days; deep learning with supervised and unsupervised training of a custom ResNet convolutional neural network. This technology “learns” from the changes that users make to the output results. For example, if the Total Due information on ABC Company’s invoice is located in a different quadrant on the document, the user will correct the output information. The ML technology in FormSuite for Invoices learns from these corrections, ultimately increasing confidence values.

A lot of our customers are dealing with both types of forms, structured and semi-structured, so we see people using these toolkits in combination to solve their overall forms processing challenges.

Finovate: What role does Robotic Processing Automation (RPA) play in FormSuite for Invoices?

Schlabach: Both FormSuite for Invoices and FormSuite for Structured forms have been used to serve as a data input source for RPA. When companies are using RPA to automate data entry on legacy systems, that data has to come from somewhere. Before RPA, a data entry person might key data from a piece of paper or from a computer screen into another screen that has the legacy application running on it. RPA performs the typing in place of that person, but now that data has to come from somewhere. If the data isn’t digital, for example, it is on a piece of paper, that paper can be scanned and the data extracted with one of our FormSuite products allowing the RPA robot to type that data into the legacy application.

Document capture and RPA make great partners in this way, automating what was previously a tedious and time-consuming job. Having that data available in systems quicker allows people to have quicker access to the data and make decisions faster. And the people doing the data entry are freed up to do more valuable work.

Finovate: What was the biggest challenge your team had to overcome in launching FormSuite for Invoices?

Schlabach: Line item tables are particularly challenging on multiple fronts. Their format varies a lot. Some have graphic lines surrounding each cell, but some are what we call white space tables which just use spacing to align the rows and columns. All the variation makes it really hard.

In addition, in order to use any ML, you have to have a lot of data to train with. We tried to solve the table detection and recognition using data from the leading research papers in this space, those that were winners of various ML competitions. But, we found they always fell short in some subset of our test data. 

Eventually, after working with various algorithms, one of our Principle Engineers identified a way to make a significant improvement in the ML algorithm, and the results are quite impressive. To solve the data challenge, we used a number of unique ideas to source the invoice images and used raw manpower (internal crowdsourcing) to create the “ground truth,” the correct values that are used in training and testing the machine learning.

It was an impressive effort that had the entire Accusoft organization contributing to our training data. We even had our CEO helping with the data creation at one point.

Finovate: Aside from the obvious benefit of saving time on data entry, what other benefits does FormSuite for Invoices bring to an organization?

Schlabach: There are several benefits. With Accusoft specializing in solutions for content processing, conversion, and automation solutions since 1991, developers can focus on their core strengths and let Accusoft handle the heavy lifting of content capture. As a toolkit, FormSuite for Invoices helps developers solve the most challenging aspect of the invoice process: data extraction. By embedding FormSuite for Invoices, developers significantly shorten their product’s time to market.

On the end-user side, automating invoice processing has been shown to contribute many benefits. The data entry, as mentioned, is the obvious benefit. However, companies also see dollar savings by paying invoices sooner and recognizing early payment discounts. In addition, with the speed of business today, having visibility to data is important. Invoice processing automation helps companies see a more accurate picture of their cash flow much quicker.

Finovate: So, what do you see as the next evolution of this technology?

Schlabach: As customers provide feedback, sometimes in the form of challenging images, we make improvements to the technology. That is the symbiotic value we have seen in many of our partnerships for document capture products. When partners report challenging images, we incorporate improvements into our products to better handle those images. We see this in our forms processing solutions, our barcode recognition product, our OCR and PDF products, and our viewer. We continually evolve our products, and as the exposure to documents in the wild increases, our products improve. 

We also see this technology expanding into other semi-structured forms use cases. Credit card statement processing, bills of lading, and purchase orders are just a few of the documents that could be processed using this technology. There are some different challenges in those types of documents, but there are also a lot of similarities to invoices that we can take advantage of.

U.S. Neobank Upgrade Launches Contactless Card

U.S. Neobank Upgrade Launches Contactless Card

When Upgrade set out to create a new banking experience in 2017, there’s no way the company could have envisioned what 2020 would bring. Now, with social distancing measures in place across the globe, Upgrade’s launch of a contactless version of its credit card is just what the doctor ordered.

Furthermore, the California-based company is making the card available in digital form, supporting Apple Pay and Google Pay mobile wallets.

Upgrade first launched its card last year and has since made $500 million in new credit available to consumers every year. The company differentiates its card, which is issued by Sutton Bank, from traditional credit cards by combining monthly charges into installment plans that the borrower repays over 24 to 60 months. Upgrade structures the repayment this way to get its users into the habit of paying down their balance every month and avoid getting trapped in a continuous cycle of debt.

Further protecting consumers is the contactless element of Upgrade’s new card. “These new Upgrade Card features enable payments without any surface contact,” said Upgrade co-founder and CEO Renaud Laplanche. “While more customers have been shopping online since the start of the COVID-19 pandemic, many are still using their card in stores. We want to do what we can to keep our customers safe and give them a smarter way to pay.”

The Visa-branded Upgrade cards offer users credit lines from $500 to $20,000 and boast no fees.

Upgrade also offers personal loans for debt consolidation, credit card refinancing, home improvement, and major purchases. In partnership with Cross River Bank of New Jersey, which issues the funds, Upgrade has originated $2.5 billion in loans and cards since inception.

Upgrade is headquartered in San Francisco, California, with an operations center in Phoenix, Arizona, and technology centers in Chicago, Illinois, and Montreal, Canada. The company has raised $122 million.

3 Ways to Avoid Occupy Wall Street 2.0

3 Ways to Avoid Occupy Wall Street 2.0

In a COVID-19 world, the rich may not necessarily be getting richer, but it has become clear that the virus is taking a toll on lower income populations. And with this, the global pandemic is shining a light on income disparity.

Do you remember the last movement to highlight income inequality?Occupy Wall Street. The movement started in September 2011 as groups assembled at major financial districts and banks to make their voices heard about income distribution, bank reform, student loan forgiveness, and capitalism in general. Nearly 200 protestors camped out in Zuccotti Park in New York’s financial district, ultimately costing the city $17 million.

So with the income inequality fresh on consumers’ minds, here are a few ideas on how banks and fintechs can be their ally instead of their perceived enemy.

Be flexible

While you don’t need to bend over backwards, offering some flexibility is key. And even though offering flexibility on payment plans can be essential, it’s not all consumers are looking for. Your call center, for example, is likely overloaded right now. Instead of having callers wait on hold, can you direct them to a chatbot or make an option for them to request a call back from an agent at a certain time?

Straying from traditional operations and bending some rules (in a compliant manner, of course!) can make a huge difference to a stressed-out consumer that is just looking for someone to understand their situation.

Be generous

You don’t have to forgive a customer’s mortgage payment for them to like you. Peer-to-peer payment company Venmo is doing a great job at engaging with its customers during this time. The company is depositing $20 into consumers’ accounts in exchange for their generosity toward healthcare workers or others in need.

Select an idea that works for your organization’s image. You can give away gift cards to Netflix or offer free gift cards to local restaurants for take away meals. The giveaways can be in under $10 and done at random or as a daily or weekly online drawing. For something more simple, you could host a larger cash giveaway with only one or two winners.

Show unity

Play a role in your community, even if it’s not an in-person effort. Advertise in the local paper that your staff is volunteering to drop off groceries for elderly citizens, display uplifting sayings to encourage passersby, or even place rolls of toilet paper on front steps of houses in nearby neighborhoods. If toilet paper isn’t your style, mail coloring sheets and simple art supplies to customers with small children. For smaller banks, publish the phone number of a representative who can help customers sort through financial issues.

Small actions can have big outcomes during a crisis like this. During a time when people are “looking for helpers” as Mr. Roger’s instructed, banks have a great opportunity to be the helpers in their community.

Sila, a Startup Founded by Shamir Karkal to Rethink ACH, Raises $7.7 Million

Sila, a Startup Founded by Shamir Karkal to Rethink ACH, Raises $7.7 Million

Blockchain-based payments company Sila announced today it has pulled in $7.7 million in Seed funding. The round was led by Madrona Venture Group and Oregon Venture Fund with contributions from Mucker Capital, 99 Tartans, Taavet Hinrikus, and Jerry Neumann.

Sila was co-founded in 2018 by Shamir Karkal, one of the entrepreneurs who co-founded Simple in 2009 and was responsible for integrating the challenger bank’s system into BBVA after it was acquired by the mega bank in 2014 for $117 million. Karkal now serves as Sila CEO.

The company will use today’s funds to accelerate growth, introduce new product features, and acquire more customers. As part of today’s deal, Madrona Venture’s Hope Cochran and Oregon Venture’s Rick Holt will join Sila’s board of directors.

The Portland, Oregon-based company has a single API that offers what it’s termed Infrastructure-as-a-Service. Overall, Sila helps companies authenticate consumers via a partnership with Alloy, connect with consumer bank accounts via a partnership with Plaid, and move money. All three of these capabilities come together to enable companies to create their own in-app, white-labeled digital wallet. Sila’s customers range from startups to established businesses working in finance, insurance, real estate, and blockchain.

To power the funds transfers, Sila is using SILA, its own ERC token that is pegged to the U.S. penny. Since the money is held in Evolve Bank and Trust, a traditional bank, all funds are FDIC insured.

“The global financial system is broken,” said Karkal. “(It) doesn’t serve consumers, small businesses, or the innovators trying to reach them. It is too expensive, inefficient, tightly regulated, and difficult to integrate into fintech applications.” Sila is addressing these challenges in multiple ways, one of which is its price point. The company’s pricing ranges from $0 per month plus fees for startups, to just under $10k per month plus fees for enterprises.

As for what’s next, Sila is currently working on adding support for card payments, business ID verification, and international payments. The company, however, has yet to disclose timing on these projects.