PaymentsJournal
No Result
View All Result
SIGN UP
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
PaymentsJournal
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
No Result
View All Result
PaymentsJournal
No Result
View All Result

‘Financial Providers Need Actionable Insights, Not Raw Data’: Credit Card Company Petal Spins Off B2B Data Unit, Prism Data

By Steve Murphy
April 27, 2021
in Analysts Coverage, B2B, Banking, Commercial Payments, Credit, Data, Debit, Emerging Payments, Fintech
0
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
Clearing the Fog around Fraud Systems and Payment Data

Clearing the Fog around Fraud Systems and Payment Data

This piece is posted at TearSheet and is an overview of a 2016 New York-based fintech startup named Petal, which issues credit cards using alternative methods of credit underwriting and has reported funding above $500 million. 

Petal looks at the cash flow of potential borrowers rather than traditional credit scores to assess creditworthiness, targeting underbanked users who lack the formal statistics to prove they will pay back. To date this has been a consumer proposition only.

‘Petal is one of those fintech companies raising lots of money that hasn’t gotten a lot of press. It’s not because the company isn’t interesting — it is doing some really cool things around consumer credit. Petal may not be getting the ink it deserves because the story revolves around financial data. Financial data is definitely valuable — it’s just not sexy. The underwriting machine is the story here and the story now becomes more complicated with news that the firm is going B2B….Petal is a credit card company that uses cashflow information from bank account data to make underwriting decisions. More than 50 million people lack credit scores in the U.S. and by looking at banking history, the firm has found a way to provide access to credit for thin file/no file consumers.’

The new twist is that the company is launching something of a broader offering that can be applied to perhaps a wider variety of credit products, which they call Prism Data. 

The article gives an enterprise B2B lead-in but goes on the describe more of a B2C offering description.  The idea is to use the platform’s capability to analyze lots of data into a more effective tool to make credit decisions, regardless of the specific product.  One could surely see a small business application here.  Those interested can browse through the full piece.

‘“Prism Data takes raw data from financial providers and transforms it into useful information that those providers can rely on, giving them greater insight into credit risk, identity, financial status, and more,” said Jason Gross, Petal’s co-founder and CEO, who will assume similar responsibilities at Prism Data. “We believe financial providers need actionable insights — not raw data — to create bold new solutions.”…Banking history is full of messy data. It’s inconsistent and frequently mislabeled and categorized incorrectly. Since launching in 2016, Petal has spent significant time in market cleaning up and restructuring the data so that it can be used to make credit decisions….WebBank was Prism Data’s first client. Managing the Petal Card program, the bank used this data and approach to cash flow to facilitate access to hundreds of millions of dollars of credit to underserved consumers.’

Overview by Steve Murphy, Director, Commercial and Enterprise Payments Advisory Service at Mercator Advisory Group

0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
Tags: B2BB2CBankingCredit CardsDataFinancial InstitutionFintech

    Get the Latest News and Insights Delivered Daily

    Subscribe to the PaymentsJournal Newsletter for exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    innovation

    Companies No Longer Dabble in Innovation, They Prioritize It

    May 22, 2026
    klarna debit card

    Why Too Many Banks Are Losing Out on Merchant Services

    May 21, 2026
    embedded payments

    Embedded Payments Are Becoming Core to Vertical SaaS

    May 20, 2026
    palm scan

    Identity Fraud and the Erosion of Trust in the Age of AI

    May 19, 2026
    metamask debit card

    After Kraken’s “Skinny” Fed Account, What’s Next for Crypto?

    May 18, 2026
    agentic payment

    PhotonPay Completes its First Live Agentic Payment Together with Mastercard

    May 15, 2026
    banking

    Inside Banking’s $10 Billion Inflection Point

    May 14, 2026
    fraud disputes

    The Hidden Cost of Fraud Disputes Is Hitting Banks Hard

    May 13, 2026

    Linkedin-in X-twitter
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter

    ©2026 PaymentsJournal.com |  Terms of Use | Privacy Policy

    • Commercial Payments
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    No Result
    View All Result