With Equifax in its sights, TransUnion invests $24M in revenue verification platform Truework

0
78

[ad_1]

Truework, an revenue and employment verification platform utilized by banks, lenders, property managers and employers, in the present day introduced a strategic partnership and $24 million in fairness funding from client credit score reporting big TransUnion.
Based in 2017, San Francisco-based Truework integrates with third-party companies, reminiscent of payroll suppliers, to assist mortgage suppliers and related lenders confirm customers and approve loans straight from inside their very own purposes. It will also be utilized by landlords or would-be employers to hold out background checks.
With its newest partnership, which quietly went stay just a few weeks in the past, TransUnion will successfully be promoting Truework’s revenue verification product alongside its major credit score product, which means {that a} TransUnion buyer reminiscent of a financial institution will be capable to entry each credit score and revenue information by a single API.
“Having each information units accessible through the identical API and vendor is highly effective for the lender and buyer,” Truework co-founder and CEO Ryan Sandler defined to TechCrunch. “Particularly for the 1000’s of consumers who already use TransUnion for credit score information.”
The Equifax issue
Right now’s announcement comes some 10 months after Truework closed a $50 million Collection C spherical of funding, and the truth that TransUnion has now made a direct $24 million fairness funding is indicative of how deep the partnership between the 2 firms is. Though it’s far too early to make any wild predictions, it will not be all that stunning if this funding served as a pre-cursor to a full-on acquisition given the synergies between the duo. Certainly, TransUnion is not any stranger to the world of M&A, having purchased some 10 firms, together with venture-backed startups, prior to now 5 years alone.
Within the nearer time period, nonetheless, this partnership places TransUnion in a stronger place to compete with the likes of business heavyweight Equifax, which already gives revenue verification alongside its credit score reporting toolset.
“Till just lately, Equifax was the one [credit reporting] bureau that had an revenue verification product, and so they had been in a position to maximize distribution of this product by established credit score channels,” Sandler stated. “This benefit was particularly obvious in mortgage, the place revenue and employment verification has develop into required for conforming loans because the Dodd-Frank Act got here into impact. This partnership now permits TransUnion to offer revenue information by Truework and compete straight within the multi-billion greenback revenue verification enterprise.”
From Truework’s vantage level, in the meantime, the partnership helps it acquire considerably extra publicity amongst a few of the world’s greatest firms.
“We’re already in lots of mortgage lenders, and the product drives a ton of worth for these prospects,” Sandler continued. “Now, TransUnion might be distributing the product to new verticals and use circumstances, from property administration to bank card purposes.”

[ad_2]