Alliant Credit Union, a fully digital, top 10 credit union in the U.S. with more than 650,000 members and over $15 billion in assets, announced it has partnered with Upstart (NASDAQ: UPST), an artificial intelligence (AI) lending marketplace, “to offer AI-powered personal loans nationwide.”
Charles Krawitz, Senior Vice President, Chief Capital Markets Officer & Head of Commercial Lending for Alliant Credit Union, said:
“We are very particular when we choose a fintech partner. Our partners must embrace doing things the right way, with legal and risk compliance maturity. We believe Upstart has invested in robust systems that ensure borrowers are well-vetted, and that they will make a strong partner for delivering value and options to our members.”
Alliant Credit Union became “an Upstart lending partner in May 2022 and is now part of the Upstart Referral Network.”
With the Upstart Referral Network, qualified personal loan applicants on Upstart.com who meet Alliant’s field of membership requirements and credit policies “will receive tailored offers as they seamlessly transition into an Alliant-branded experience to complete the online member application and closing process.”
Most credit and rate decisions “will be offered in approximately five minutes, based on Alliant credit criteria.”
Robert Perrelli, Vice President of Partnership Development for Alliant Credit Union, remarked:
“As a digital credit union, Alliant strives to create significant value for our members through fintech partnerships that have a similar mission to ours. Through our strategic partnership with Upstart, Alliant will be able to reach and lend to more creditworthy borrowers nationwide while expanding our membership through a modern, all-digital personal lending experience.”
Michael Lock, Senior Vice President of Lending Partnerships for Upstart, added:
“We are excited to have Alliant join the growing family of Upstart lending partners. As part of the Upstart Referral Network, Alliant will be able to grow its membership while providing greater access to affordable credit.”
As noted in the update, Upstart claims to be “a leading AI lending marketplace partnering with banks and credit unions to expand access to affordable credit.”
By leveraging Upstart’s AI platform, Upstart-powered banks and credit unions “can have higher approval rates and lower loss rates for every race, ethnicity, age, and gender, while simultaneously delivering the exceptional digital-first lending experience their customers demand.”
More than two-thirds of Upstart loans are “approved instantly and are fully automated.” Upstart was “founded by ex-Googlers in 2012 and is based in San Mateo, California and Columbus, Ohio.”