Vouch uses and analyzes data from borrowers' social graphs to establish their creditworthiness. In addition, it also asks members of a borrower's network to "vouch" for them by agreeing to chip in if a person can't pay back a loan. Vouch loans will range from $500 to $7,500 with interest rates between 5%-30%.
A San Francisco start-up, Vouch, has raised $6 million in Series A funding in its bid to transform consumer lending. It is backed by IDG Ventures USA, First Round Capital, Greylock, AngelList, Core Innovation Capital, Data Collective, Stanford StartX Fund, Pacific Crown, Michael Levit and Cooley LLP. The social lending startup had already secured $3 million in funding in January of this year.