Sunrise AI Raises Pre-Seed Funding Led by Andrew Ng’s AI Fund for AI-Driven Credit Analysis
In Brief
Sunrise AI announced the successful closure of its undisclosed pre-seed funding round led by Andrew Ng’s AI Fund.
Sunrise AI, an AI-powered credit analysis startup today announced the successful closure of its undisclosed pre-seed funding round led by Andrew Ng’s AI Fund.
Founded in 2023 by Deepak Shrivastava and Xi Palazzolo, the US-based startup aims to make credit assessment easy and enhance access to capital for individuals and businesses. According to the company, its proprietary AI suite has shown a 96% accuracy rate in forecasting a borrower’s ability to repay a debt obligation.
“This investment will enable us to accelerate the development of our AI-driven solutions and reach more underserved and excluded communities in need of fair and accessible financial services,” said Deepak Shrivastava, co-founder and CEO of Sunrise AI told Metaverse Post.
The AI Fund boasts a capital pool of $176 million, backed by venture capital firms including Greylock Partners, Sequoia Capital, New Enterprise Associates (NEA) and Softbank Group. Andrew Ng is a founding member and managing general partner at the AI Fund.
With the capital infusion, Sunrise AI plans to further refine its AI models, enrich its product offerings and expand its operations to serve a broader audience beyond real estate.
“Technology can shine new light into opaque financial systems. Deepak, Xi, and team have a compelling vision of using AI to create a fair and inclusive financial system for all, and AI Fund is thrilled to support Sunrise AI to realize this vision,” said Andrew Ng, managing general partner of AI Fund, and globally recognized AI leader.
Sunrise AI’s Edge Over Traditional Credit Scoring
Unlike traditional credit scoring services, Sunrise AI leverages machine learning technology to analyze a diverse range of user-permissioned data sources, including robust open banking and macroeconomic data, unlocking a more inclusive and fair evaluation of creditworthiness.
“Our machine learning algorithms are trained on diverse datasets to identify nuanced patterns
and factors that impact debt repayment. In addition, our technology provides explainability,
enabling transparency into how our ML algorithms make the assessment,” Sunrise AI’s Shrivastava told Metaverse Post. “Our technology also provides traceability and versioning of all assessments, enabling our customers to be compliant with regulations.”
Additionally, Sunrise AI also asserts that SunScore — the company’s first product, equips property owners with an advanced risk management solution, aimed at deterring rental fraud, uncovering accurate credit insights and enhancing lease income analytics.
“Our approach ensures a more inclusive and equitable evaluation of creditworthiness by considering a comprehensive spectrum of financial behaviors. Creditworthiness isn’t solely determined by credit card usage or bill repayment; it extends to day-to-day banking behaviors,” Shrivastava explained. “By analyzing these behaviors, Sunrise AI gains a deeper understanding of the financial health of individuals with limited credit histories, thus broadening access to capital.”
Moreover, the SunScore platform goes beyond conventional assessments, incorporating advanced AI algorithms that delve into crucial financial metrics. These include an applicant’s lease-to-income ratio, debt-to-income ratio, number of months reserves and a unique capability to forecast their likelihood of making rent payments.
By embracing cutting-edge technology and real-time data, SunScore aims to enhance credit reporting and address longstanding issues of credit accuracy and relevance.
“By leveraging our advanced AI models, we aim to bring efficiency, accuracy, and fairness to credit evaluations that will allow more access to financial products such as auto loans, consumer loans, mortgages, and more,” Sunrise AI’s Shrivastava told Metaverse Post. “We also envision partnering with not-for-profit organizations, such as credit unions, to expand their member pool and facilitate responsible lending practices.”
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
