Pagaya

Name

Pagaya

Legal name

Pagaya Technologies Ltd.

Website

https://pagaya.com

Company type

Public

Founded year

2016

Operating status

Operating

Headcount range

501–1,000 employees

Ownership category

akta.pro rank

Product category

AI Lending Network / Consumer Credit Infrastructure

NAICS

Mortgage and Nonmortgage Loan Brokers (52231), Nondepository Credit Intermediation (5222)

SIC

Loan Brokers (6163)

akta.pro primary industry

Marketplace & Loan Aggregation Platforms (Borrower-Lender Matching) (FSAGAHAL)

akta.pro secondary industries

Alternative Data & Credit Scoring (Cashflow, Telco, Utility, Open Banking) (FSAGAHAC), Collateral, Lien & Asset Valuation Platforms (Auto, Equipment, Real Estate) (FSAGAHAG)

Keywords

• AI credit underwriting
• Lending network platform
• Asset-backed securitization
• Consumer credit infrastructure
• Point-of-sale financing

Headquarters

HQ city

New York

HQ country

United States

HQ region

North America

Markets served

GTM type

B2B

Offering type

Software

Cost components

Technology or R&D, Personnel, Marketing or Sales, Operations, Infrastructure

Revenue model

1. Technology & Underwriting Fees: Fee-based revenue earned primarily from the consumer lending side in exchange for integrating AI underwriting technology into banks, non-banks, fintechs, and BNPL providers. Capital-light B2B2C model where originated loans never touch Pagaya's balance sheet. Fee revenue less production costs (FRLPC) reached $121M in Q1 2026, up 5% YoY.
2. Capital Markets Securitization Fees: Earns fees structuring and issuing asset-backed securitizations (ABS) across PAID (personal loans), RPM (auto loans), POSH (point-of-sale) and resecuritization programs. Total lifetime issuance of $40 billion across 91 ABS transactions backed by more than 165 institutional investors.
3. Forward Flow Whole Loan Sales: Sells seasoned whole loans across personal, auto, and POS asset classes to private credit managers via forward flow agreements. Active partners include Blue Owl ($2.4B), Castlelake ($1B consumer + $500M auto + $2.5B personal loans), Sound Point Capital ($720M POS).
4. Managed Services & Advisory (Historical): Operated single-family rental management platform (Darwin Homes, divested 2024) and previously generated revenue through real estate investment portfolio management before exiting that segment to focus on AI credit infrastructure.

Pricing tiers

Go-to-market motion3 records

Distribution channels5 records

Marketing channels10 records

Core offering

Pagaya operates an AI-powered lending network that integrates with banks, credit unions, fintechs, and BNPL providers via APIs to underwrite personal loans, auto loans, and point-of-sale financing in real time using machine learning models. The platform evaluates loan applications, converts approved loans into funded credit via off-balance-sheet asset-backed securitization, and connects 30+ lending partners with 165 institutional investors, generating $43B+ in new credit across $3.7T of evaluated applications.

Product overview

Pagaya operates a single unified AI Lending Network as its core platform, augmented by six named product modules organized into two categories. Under "Decision Engine" are three credit decisioning modules: Decline Monetization (re-evaluates declined applications), PGY First Look (expands the credit box for new segments), and PGY Dual Look (presents best offers to maximize conversion). Under "Pagaya Intelligence" are three optimization modules: Fast Pass (Intelligent Stipulations decisioning to accelerate funding), Affiliate Optimizer Engine (marketplace penetration), and Direct Marketing Engine (predictive targeting and cross-sell). The platform also supports Pagaya Capital Markets, an institutional franchise funding $39B+ across 91 ABS transactions through three securitization shelves — PAID for personal loans, RPM for auto loans, and POSH for point-of-sale loans — plus private forward flow and pass-through structures connecting 30+ lending partners with 165 funding partners.

Differentiator

Problem solved

Functional benefit

Brands

• PAID: Pagaya AI Debt program / shelf for personal loan ABS transactions (pre-funded, revolving, and resecuritization variants).
• RPM
• POSH
• PGY First Look
• PGY Dual Look
• Decline Monetization
• Fast Pass

Products and services

• Pagaya Network (AI Lending Network) Core AI-powered lending platform connecting 30+ lending partners with 165 institutional investors across personal loans, auto loans, and point-of-sale financing. Uses proprietary machine learning to evaluate loan applications in real time, generating $43B+ in new credit and evaluating $3.7T in applications since inception, and routing approved loans to appropriate financial vehicles without balance sheet impact.
• Decline Monetization Converts declined loan applications into funded loans by approving qualified applicants who fall outside the lender's traditional credit parameters, via off-balance-sheet AI underwriting. Provides zero-risk revenue growth because all loans funded are off-balance-sheet. Available for Personal Loans, Auto Loans, and Point-of-Sale.
• PGY First Look First-look credit decisioning that expands the lender's credit box with zero credit risk by originating off balance sheet. Reaches underserved customer segments while maintaining the lender's brand presence. Available for Personal Loans, Auto Loans, and Point-of-Sale.
• PGY Dual Look Best-offer presentment model that generates optimized dual credit offers for each applicant, maximizing conversion while operating within lender credit parameters. Available for Personal Loans, Auto Loans, and Point-of-Sale.
• Fast Pass (Intelligent Stipulations) Frictionless conversion decisioning that accelerates the purchase journey, reduces verification expenses, and minimizes application fall-out using intelligent stipulations decisioning. Built for Personal Loans and Auto Loans.
• Affiliate Optimizer Engine Marketplace-lending activation engine that integrates via pre-built APIs to approve qualified applicants in leading affiliate marketplaces. Expands credit offerings without balance-sheet risk. Built for Personal Loans.
• Direct Marketing Engine Predictive intelligence for proactive firm offers and customer cross-sell, using proprietary data and industry knowledge to define optimal consumer targeting strategies. Built for Personal Loans and Point-of-Sale.
• Pagaya Capital Markets (ABS Platform) Programmatic asset-backed securitization issuance platform across PAID (personal loans, $30.4B+ funded), RPM (auto loans, $8.1B+ funded), and POSH (point-of-sale, $0.6B+ funded) shelves, with pre-funded, funded, revolving, forward-flow, and pass-through structures. Top personal loan ABS issuer in the U.S., supporting $39B+ funded across 91 ABS transactions.

Quantifiable outcome

• $43B in new credit generated across the Pagaya Network
• +8 more outcomes

Named customers17 records

Segments6 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

Yes

API docs

API detail

Core technology

AI maturity

App detail

Integration7 records

AI capability7 records

Feature9 records

Partnerships

21 partnerships are on record, tiered flagship, core and minor.

• UpgradeflagshipStrategic or Co-development Partner · 8 June 2026Multi-year partnership to integrate Pagaya's AI-driven credit decisioning into Upgrade's Flex Pay Buy Now, Pay Later solution. Initially focused on travel merchants. Previously focused on personal loans; expanded into POS June 2026.
• ExperianflagshipStrategic or Co-development Partner · 11 May 2026Strategic partnership integrating Pagaya's AI-driven lending technology into Experian Marketplace, providing real-time underwriting and credit recommendations to over 80 million Experian members via Experian's AI-enabled Activate platform.
• SezzleflagshipStrategic or Co-development Partner · 5 May 2026Partnership to embed Pagaya's AI underwriting platform at Sezzle's point-of-sale, enabling Sezzle customers to access longer-term installment loan products issued by WebBank. Aims to drive higher approval rates and larger transaction baskets.
• UpstartflagshipStrategic or Co-development Partner · 11 March 2026Network partner contributing personal loan collateral to Pagaya's ABS transactions, including the June 2026 $800M PAID 2026-4 deal. Upstart appears as a new network partner alongside Achieve.
• AchieveflagshipStrategic or Co-development Partner · 17 December 2025Partnership launched December 2025 to expand access to personal loans, integrating Pagaya's AI-powered underwriting technology. Enabled Achieve to lower minimum APR from 8.99% to 6.25% by March 2026.
• Best EggflagshipStrategic or Co-development Partner · 1 January 2025AI underwriting integration partner for personal loans. Featured on Pagaya's homepage as a primary lending partner.
• AvantcoreStrategic or Co-development Partner · 1 January 2025AI underwriting integration partner for personal loans. Featured on Pagaya's homepage as a primary lending partner.
• LendingClubflagshipStrategic or Co-development Partner · 10 October 2024Lending partner and co-acquirer (with Pagaya) of Tally Technologies assets (October 2024). LendingClub is featured on the Pagaya homepage as a lending partner.
• Tally Technologies (acquired)coreStrategic or Co-development Partner · 10 October 2024Co-acquired assets of Tally Technologies with LendingClub in October 2024.
• OneMain FinancialflagshipStrategic or Co-development Partner · 6 August 2024New lending partnership announced August 2024 to broaden enterprise collaboration around auto loans. COO Micah Conrad quoted: 'Our partnership with Pagaya allows us to continue to serve hardworking Americans by furthering access to auto loans'.
• Theorem Technology, Inc. (acquired)coreStrategic or Co-development Partner · 30 July 2024Pagaya announced agreement to purchase leading consumer credit funds manager Theorem Technology, Inc. (July 2024).
• MastercardflagshipStrategic or Co-development Partner · 12 June 2024Mastercard Engage Program partner announced June 2024 to offer installment financing solutions for banks and merchants across Mastercard's payment network.
• U.S. BankflagshipStrategic or Co-development Partner · 15 February 2024Partnership announced February 2024 to offer personal loans to borrowers with non-traditional underwriting criteria. Head of Consumer Lending Partnerships Mike Shepard quoted on homepage: 'By expanding access to responsible credit solutions, we are giving clients access to funds when they need it the most'.
• Exeter FinancecoreStrategic or Co-development Partner · 13 December 2023Auto lending partnership announced December 2023 to further scale Pagaya's auto lending product. Exeter originates auto loans sourced to Pagaya's RPM ABS shelf.
• Sunlight Financial (acquisition target)minorStrategic or Co-development Partner · 20 April 2023Pagaya's $75 million Oak HC/FT investment in April 2023 was earmarked to support strategic acquisitions including a potential takeover of Sunlight Financial.
• Darwin Homes (acquired/divested)coreStrategic or Co-development Partner · 11 January 2023Acquired Darwin Homes in January 2023 to power tech-enabled single-family rental platform; later exited the single-family rental business to focus on AI credit infrastructure.
• Westlake FinancialflagshipStrategic or Co-development Partner · 7 September 2022Partnership announced September 2023 showcasing strength of Pagaya's auto lending product. Group President Ian Anderson quoted: 'Their AI-powered network empowers Westlake to help more car buyers get their loans faster'.
• AllyflagshipStrategic or Co-development Partner · 9 February 2022Partnership to expand Ally's access to more customers through Pagaya's AI underwriting network for personal loans (announced February 2022). Ally is featured as a primary partner on the Pagaya homepage.
• VisaflagshipStrategic or Co-development Partner · 25 January 2022Strategic relationship announced January 2022 to enhance access to credit for Visa's merchant and issuing bank partners using Pagaya's AI technology. Visa is featured as a primary partner on Pagaya's homepage and products page.
• KlarnacoreStrategic or Co-development Partner · 1 January 2022Former point-of-sale underwriting partnership initiated 2022. Pagaya filed a lawsuit against Klarna in U.S. District Court for the District of Delaware alleging misappropriation of trade secrets related to subprime POS underwriting and breach of license and loan sale agreements. Klarna terminated the relationship in March 2026.
• SoFiflagshipStrategic or Co-development Partner · 4 November 2021Partnership to enhance access to financial services using Pagaya's AI technology, allowing both companies to offer more robust credit solutions while reducing risk for lenders. SoFi is featured as a primary partner on Pagaya's homepage.

Scale indicators15 records

Recent moves7 records

Expansion highlights5 records

Direct peers

• Upstart Holdings: Upstart is the most direct comparable to Pagaya, operating an AI-driven lending marketplace that connects bank and credit union partners with institutional capital. Both companies apply ML to credit decisioning and offer API-based integration. Upstart is also a Pagaya network partner feeding personal loan collateral into PAID ABS, making them simultaneously competitor and collaborator.
• Affirm Holdings: Affirm is a leading BNPL and point-of-sale financing provider that uses underwriting technology to extend credit at merchant checkout. Like Pagaya, Affirm partners with banks and merchants, raises ABS funding, and is expanding into longer-duration installment lending where Pagaya's Decline Monetization and POS underwriting compete directly.
• LendingClub Corp. LendingClub is an online lending marketplace bank and a Pagaya network partner. The two co-acquired Tally Technologies in October 2024. LendingClub originates personal loans that flow through Pagaya's network, making it both a customer and a competitor in the digital personal loan space.
• Enova International: Enova operates online lending and credit analytics businesses serving non-prime consumers and small businesses using data and AI-driven underwriting. It uses securitization and whole loan sales for funding, mirroring Pagaya's off-balance-sheet model, and competes in the subprime and near-prime personal loan segment.
• OneMain Holdings: OneMain is a large consumer finance company focused on non-prime personal loans and auto lending. As a flagship Pagaya network partner (using AI underwriting for personal loan and auto expansion), OneMain is both a customer and a same-segment competitor in the non-prime consumer credit market.
• Figure Technologies: Figure Technologies operates a blockchain-enabled lending and capital markets platform with home equity, personal loan, and HELOC products. Figure is comparable to Pagaya as a fintech using technology-led underwriting, securitization, and forward flow funding to originate and distribute consumer credit.

Broad incumbents

• SoFi Technologies: SoFi is a diversified digital financial services platform and a flagship Pagaya network partner. SoFi operates personal loans, student loans, banking, and investing. While SoFi uses Pagaya's AI for credit decisioning, it is also a much larger, broadly diversified incumbent in the same consumer credit space.
• Ally Financial: Ally is a major US digital bank and consumer auto lender, and a flagship Pagaya partner. While Ally uses Pagaya's AI underwriting to expand personal loan and auto credit access, it operates its own large-scale direct lending platform and competes in overlapping consumer credit segments.
• Synchrony Financial: Synchrony is a large consumer financial services company specializing in private label credit cards and installment lending. Comparable to Pagaya as a major originator and ABS issuer of consumer credit, with a much broader, diversified product set and a long-running card-network partner footprint.
• Discover Financial Services: Discover is a major US card issuer and consumer banking institution with significant personal loan and student loan franchises. It is comparable to Pagaya as a large-scale consumer credit originator and ABS issuer operating across multiple asset classes, though with a traditional rather than AI-driven underwriting approach.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks7 records

Key highlights7 records

Customer concentration

• Xx.com/Pagayaltd
• LinkedInlinkedin.com/company/pagaya
• Facebookfacebook.com/pagayaltd

Compliance5 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles14 records

Subsidiaries3 records

Funding overview

Funding rounds31 records

Investors31 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A2 records

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Pagaya