Payfone, which provides technology to confirm customer identities, has secured $23 million in a funding round led in part by Synchrony Financial.
Founded in New York in 2008, Payfone operates a platform that helps banks, insurance companies and brokerage firms weed out fraud by using millions of data points to authenticate consumer identities on mobile and digital platforms, the company said in a Tuesday press release.
Synchrony is one of the leaders in the latest round, along with MassMutual Ventures and individual investors, according to the release.
“The days of using quizzes, questions and one-time codes to verify identity are numbered,” said Rodger Desai, Payfone’s founder and CEO, in the release.
Stamford, Conn.-based Synchrony will benefit from its investment in Payfone by improving its processes for acquiring customers and reducing fraud, Synchrony said in a separate release.
“We are excited to work with the Payfone team and continue to focus on eliminating friction from the authentication process for our customers,” said Michael Hensinger, Synchrony Ventures’ senior vice president and senior managing partner, in the release.
Payfone has raised about $70 million to date, according to reports.