Pagaya CEO Gal Krubiner Joins the Wharton FinTech Podcast to Discuss The Ongoing Evolution of the Credit Ecosystem


Consumer credit is a crucial cornerstone of global commerce, with a market size in the trillions. Yet, in the United States, which enjoys the most advanced financial infrastructure in the world, a staggering 42% of people seeking credit are either denied or not getting the full credit they deserve.


On a recent episode of the Wharton FinTech Podcast, Pagaya Co-founder and CEO Gal Krubiner shared with host Nate Gee that solving this challenge was the animating force that led him and the other co-founders of Pagaya to question how technology could change that outcome and help people receive the credit they really deserve.


From the onset, Pagaya’s mission was “rather straightforward and simple,” explained Gal, “to help lenders provide more credit opportunities for more people more often.


Gal went on to share that since its founding in 2016, Pagaya’s answer to this challenge has been to build an AI-powered network that is changing the game for various types of consumer lending by allowing lenders to de-risk the lending process and say “yes” more often to borrowers who might have otherwise been rejected while providing institutional investors access to a unique flow of credit investments.


Pagaya’s solution is having tremendous success, “70% of the Pagaya loan applications were actually denied by another lender,” he shared.


That success has led to demand from lenders in other verticals. “There are not many operators like ourselves with the right infrastructure, capabilities, intelligence, AI, and risk compliance necessary to capture that opportunity…we are really in the sweet spot from that perspective”.


Listen to the entire session below:



Apple Podcasts

1 “Making Ends Meet in 2022,” Consumer Financial Protection Bureau
2 Represent 91mm loan applications evaluated during Jan 2021- Mar 2023 from 25 originating partners across 3 asset classes