Its MerchantLinQ platform empowers lenders to provide instant point-of-sale finance through local merchants, offering control over loan underwriting and branded products.
The recent rise in interest rates has made lending challenging for many non-depository fintech companies. By partnering with banks and credit unions, LoanStar is uniquely positioned to drive volume in the current and any future cyclical environments with a broad portfolio of lending products that re-intermediate financial institutions into digital lending.
Powering business growth
This latest funding for LoanStar comes at a time of significant momentum.
In 2023, the company reached US$1 billion in total funded loan volume and added more than 1,000 active merchants and 13 new lenders, taking the total number of merchants partnered lenders on the platform to 7,000 and 55 respectively.
LoanStar is enabling lenders and merchants of every size to elevate their brand, expand their customer base and power new business growth through embedded lending and point-of-sale financing.
The vast majority (92%) of loans created through the LoanStar channel have resulted in a new customer for financial institutions, which have reported around US$10 of expanded revenue for every US$1 in lending activity through cross-sales of products to the consumer and merchant.
