Valar Ventures led the investment, joined by Story Ventures, Core Innovation Capital, and RiverPark Ventures. Synchrony and Samsung Next have also made strategic investments. The money will be split between Petal and Prism Data.

Founded in 2016, Petal offers a Visa credit card that people can qualify for even if they’ve never used credit before. Instead of relying solely on credit scores, the firm has built proprietary technology that analyses banking history—measuring creditworthiness based on income, spending, and savings.

The process, referred to as “Cash Scoring”, measures economic fundamentals that aren’t typically considered in a credit approval decision, helping people that traditionally have trouble getting credit. Once approved, customers get a mobile app where members can automate payments, track their credit scores, manage subscriptions, and stay on top of their spending.

In 2021, the company set up Prism Data, offering other financial providers the same open banking infrastructure and intelligence for underwriting decisions and expanding access to credit.

The unit has seen "significant traction" since its launch, signing more than a dozen clients and partners and completing over two dozen successful pilots, including with some of the country’s largest banks.

Erin Allard, GM, Prism, says: "Prism Data was founded on the belief that open banking, and access to consumer-permissioned bank account transactional data, will change the way consumer finance works—in credit, payments, banking, insurance, real estate, financial advising, and more.

"With open banking’s arrival in the U.S., that is becoming a reality. And as an independent company, Prism is well-positioned to partner with financial providers and give them the tools and infrastructure they need to create next-generation products and capabilities."