Preauth provides an API that allows businesses to utilize various forms of collateral, such as payroll deductions and credit card holds, to secure payment for loans and services. This technology addresses the risk of defaults by enabling automatic claims on guarantees, ensuring businesses receive payment even in cases of customer non-compliance.
Funding
$830K raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Businesses face risks of default when providing loans or services, leading to potential revenue loss and financial instability. Traditional methods of securing payments often involve complex processes and may not guarantee recovery in case of customer non-compliance.
Solution
Preauth offers an API that enables businesses to secure payments by utilizing various forms of collateral, such as payroll deductions and credit card holds. The API automates the process of claiming guarantees, ensuring businesses receive payment even if customers default. By connecting to Preauth's API, businesses can re-evaluate rejected applications by requesting a guarantee that ensures payment of fees, and accept guarantees such as payroll deductions, jewelry, electronics, and endorsements. The API integrates with existing payment processors, streamlining the money flow for businesses.
Target Audience
The primary target audience includes businesses in hospitality, travel, rentals, fintech, lending, real estate, e-commerce, and healthcare that require secure payment solutions and risk mitigation against defaults.
Features
- API for creating and managing payment guarantees
- Supports various collateral types, including payroll deductions and credit card holds
- Automated claiming process for guarantees in case of default
- Integration with existing payment processors
- Dashboard for managing guarantees
- Widget for easy integration into existing systems
- Real-time notifications and webhooks for tracking guarantee status