Miami-based fintech Split Pay raises $125 million in Series A and B rounds to leverage artificial intelligence in providing flexible credit solutions, aiming to ease cash-flow pressures for households caught between bills and paychecks.
Split Pay has raised $125 million in back-to-back Series A and Series B rounds, as the Miami-based fintech bets that artificial intelligence can widen access to short-term credit without pushing losses higher. Axios reported that Khosla Ventures led both rounds, with backing from Thrive Capital and Max Levchin, the chief executive of Affirm. The company is building a payment product aimed at households caught between monthly bills and twice-monthly paychecks.
Andrew Borovsky, Split Pay’s co-founder and chief executive, told Axios that the business is trying to make consumer finance work more like invoice-based business payments. He said the company spent its first two years developing a new underwriting model focused on younger consumers, and argued that many people with solid incomes still live paycheck to paycheck because of bill timing rather than low earnings. Split Pay lets renters and mortgage holders divide payments into two installments and charges a fee for the service.
The pitch taps into a wider affordability strain that PYMNTS has documented among working households. Karen Webster wrote that people under financial pressure tend to fall into three groups: those squeezed by everyday spending, those hit by short-term shocks and those making long-term trade-offs around housing, education, childcare, family support or debt. PYMNTS Intelligence also found that nearly a third of hourly workers incur late fees, overdrafts or penalty interest of about $50 at least once a month, underscoring why firms such as Split Pay are trying to market BNPL-style tools as cash-flow management rather than simple borrowing.
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