American Express’ famous slogan now rings true when it comes to home finance. The company’s venture arm recently led an investment in fast growing fintech startup Better.com. Joined by a cadre of other prestigious financial players, American Express Ventures looks to capitalize on the digitization of the mortgage shopping process.
The venture arm is strategic in nature, paying close attention to the potential overlap and synergies that could exist between a given financial oriented startup and the broader operations of American Express. Its focus is on consumer services and those companies that accelerate digital transformation and develop new ways to drive contextual relevance for commerce on new and existing platforms. Of particular relevance are those companies succeeding in mobile, consumer payments, marketplaces, lending, loyalty and lifestyle services
Better.com was funded just three years ago in 2016 and in a short period of time has originated over $2 billion in loans. Its focus is on helping the millions of Americans in buying or refinancing their homes. In 2018 alone, the company doubled its footprint to include over 30 states in the U.S.
Citigroup is another recent Better.com investor. “Better.com is a phenomenal success story,” said Matt Zhang, Head of Spread Products Investment Technologies at Citi. “This investment round underlines the brand’s continued growth and further commitment to world-class operational execution. We look forward to this partnership and are thrilled to be a part of the continued growth and progress of Better.com.”
All in, the company’s Series C round totaled $75 million. The investors participating included American Express Ventures, Citigroup, Goldman Sachs, Kleiner Perkins and Pine Brook. From its offices in New York City, Better.com is a direct lender dedicated to providing a fast, transparent digital mortgage experience backed by superior customer support.