Edinburgh-headquartered fintech The ID Co has secured a $2 million (£1.5m) funding injection as it looks to further develop its global customer base.
The firm’s technology is said to “remove the friction caused during application processes by the current challenges of risk, fraud, compliance, and regulation”. It is seen as a market leader in the field of open banking.
The seed funding comes from global technology investor Amadeus Capital Partners, SixThirty and other investors. It will enable The ID Co to extend its offering to new sectors and international customers while continuing to grow in its existing markets.
Chief executive James Varga said: “The financial world is being fundamentally changed through open banking. It improves our understanding of each individual, allowing us to move away from traditional credit reference agencies.
“This funding gives us the support we need to execute our plan to bring bank data to the global market. We are hiring fast and entering new markets and geographies across the globe.
“The recent launch of DirectID Insights and Income Verification means that we are in an excellent place to capitalise on the need for greater efficiency in lending practices to reflect borrowers’ expectations.”
Nick Kingsbury, partner at Amadeus Capital Partners, said: “The ID Co is delivering real value to its clients. The application of open banking-based data allows financial providers to personalise their services and streamline and shorten lending processes.”
Atul Kamra, MD of SixThirty, added: “SixThirty is excited to continue its support for The ID Co. The speed at which decisions must be made in our hyper-connected world comes with a growing customer expectation for instant value and service.”