Plaid secures $575 million in funding following a significant year of 2024
In a significant move for the fintech industry, Plaid, a leading data network, has announced the expansion of its product suite and raised $575 million in a fundraise. The funding round saw participation from Franklin Templeton, Fidelity Management and Research, NEA, Ribbit Capital, and others.
The expanded product suite encompasses comprehensive API solutions, enabling fintech apps to connect to user bank accounts, verify and authenticate accounts instantly, access real-time transaction history and balances, and facilitate faster, safer bank payments. This suite addresses needs in alternative credit data, anti-fraud, and bank payment solutions by turning complex bank data into actionable insights, reducing payment failure risks, and supporting seamless bank-based payment experiences.
Key elements of Plaid’s expanded offerings include Auth & Balance APIs for instant bank account verification and real-time balance checks, Alternative Credit Data Products for assessing creditworthiness using non-traditional data, Anti-Fraud Capabilities for detecting suspicious activity faster, and Bank Payments Solutions for instant bank transfers, recurring payments, and global payouts.
With these advances, Plaid aims to provide a full-spectrum data connectivity and money movement stack for fintech ecosystems, powering a variety of use cases from credit underwriting to eCommerce payments globally. The company's network now connects to over 12,000 financial institutions, encompassing more than 200 million bank accounts, reflecting its record adoption.
Zach Perret, the co-founder and CEO of Plaid, made the announcement simultaneously with the publication of the company's first annual letter to shareholders. Perret emphasized the impact of large players in the industry, as they add more new customers, accumulate more deposits, make more and better loans, and experience less fraud. He also stated that retail financial services are at a pivotal moment.
Perret predicts 2024 as a "seminal year" for Plaid. He believes that the companies that will grow fastest in the next decade will be those who can best use data to their and their end users' advantage. Plaid has evolved into a suite of data analytics products essential to financial services and adjacent markets. Its network is core to the way customers run their businesses and consumers manage their financial lives.
The funds raised will be used to address employee tax obligations and offer liquidity to the current team. Plaid is also a Platinum Partner of Open Banking Expo USA 2025. Additionally, Dwolla has made integration with Plaid available to enterprise customers, further expanding its reach.
More than one in two Americans with a bank account have used Plaid, underscoring its widespread adoption. As large players continue to use data to intelligently target customers, cross-sell products, make better lending decisions, and improve their risk and underwriting models, Plaid's strategic growth is poised to continue shaping the future of the fintech industry.
- Plaid's expanded product suite includes solutions for fintech apps to connect to user bank accounts, access real-time data, and facilitate faster, safer bank payments, as well as address needs in alternative credit data, anti-fraud, and bank payment solutions.
- The key elements of Plaid's expanded offerings are Auth & Balance APIs, Alternative Credit Data Products, Anti-Fraud Capabilities, and Bank Payments Solutions, all of which are designed to provide data connectivity and money movement within fintech ecosystems globally.
- Plaid's network now connects to over 12,000 financial institutions, encompassing more than 200 million bank accounts, reflecting its record adoption, especially among American consumers.
- Plaid, as a Platinum Partner of Open Banking Expo USA 2025, continues to expand its reach through partnerships, such as the integration with Dwolla, which is now available to enterprise customers.
