Earnest, a marketplace lender employing data science and proprietary software, has received a total of $275 million in financing, the company announced Tuesday.
$200 million is in the form of institutional lending capital from a group of investors led by New York Life.
The remaining $75 million is Series B equity capital led by Battery Ventures with participation from Adams Street Partners and several previous investors.
Earnest combines data science, customer service, and proprietary software to develop a holistic financial picture of each client, the company said in a release. That enables them to personalize products and offer lower rates, different term lengths and transparency.
The $75 million will be devoted toward increasing its data, engineering and technology teams ahead of what is expected to be expansion into new verticals. Earnest currently offers student loan refinancing, personal loans and coding academy loans.
Earnest reports it is lending on average between $2 and $5 million per day.