SALT LAKE CITY, Aug. 28, 2017 /PRNewswire/ -- Snap Finance, a fintech company and provider of lease-to-own financing at the point of sale to customers of eCommerce and brick-and-mortar merchants, has secured the largest bank revolving credit facility ever for a private consumer lease-to-own company. The credit facility from BMO Harris Bank will enable Snap Finance to service more than $1 billion in lease-to-own finance agreements.
The $100 million credit facility allows Snap Finance to continue to expand with new merchant partners and increase financing capacity. Snap Finance currently serves over 10,000 merchant partners and approves up to 80 percent or more of customers who typically are denied credit through traditional financing methods.
"The financing provided by BMO Harris Bank strengthens our business model and our already-solid financial footing," said Matt Hawkins, founder and CEO of Snap Finance. "And more importantly, this will allow us to help even more businesses grow as we approve more customers for financing."
As part of securing this credit facility, Snap Finance underwent a strict audit and review process. BMO Harris and bank syndicate members evaluated Snap Finance with their rigorous standards in the areas of regulatory oversight, compliance, confidence in the business model, financial performance, integrity of leadership, maturity of business, plans for growth, and customer relations.
Another key factor in extending the credit facility was Snap Finance's ability to reduce risk by using the Snap AI Verification Engine (SAVE). This proprietary Artificial Intelligence platform instantly reviews hundreds of data points allowing Snap to more accurately assess consumer performance and render faster decisioning compared to traditional underwriting techniques.
The $100 million credit facility is being provided by a syndicate consisting of BMO Harris Bank, First Tennessee Bank, and BankUnited.
SOURCE Snap Finance