Revolutionizing payment disputes with AI, Casap secures a $25M Series A investment, contributing to the elimination of first party fraud losses.
Casap Raises $25 Million to Revolutionize Payment Disputes and Fraud Prevention
Casap, an AI-powered platform specializing in automating the payment dispute lifecycle for financial institutions, has secured $25 million in Series A funding. This funding round was led by Emergence Capital, with participation from Lightspeed Venture Partners, Primary Venture Partners, SoFi, and other notable investors 13.
The funding will accelerate the expansion of Casap's first-party fraud scoring and AI decisioning capabilities. This expansion aims to further streamline dispute resolution, reduce fraud losses, and build consumer loyalty for financial institutions 4.
Rob Keatts, Chief Strategy Officer at Chartway FCU, stated that Casap has been the most meaningful operational upgrade to their claims process in decades. Chartway FCU, along with MidSouth Community FCU, have seen tangible benefits from Casap's platform, including over 51% reduction in fraud losses, positive ROI in weeks, and the ability to scale case volume without additional headcount 1.
Shanthi Shanmugam, Co-founder and CEO of Casap, emphasized that the platform delivers stronger consumer retention, fewer losses, and no regulatory missteps. The platform intelligently analyzes evidence, predicts outcomes, and automates key actions such as issuing credits, filing chargebacks, and responding to merchants 2.
Casap's proprietary fraud score identifies suspicious consumers and merchants proactively to reduce disputes and identify fraud risk before refunds are processed 1. Customers benefit from real-time decisions, predictive win scores, and self-service experiences that build trust 2.
Financial institutions are under pressure to do more with less, and Casap aims to address this pressure. The platform manages dispute intake, evidentiary analysis, credit issuance, chargeback filing, merchant responses, and member communication all in one system 1. This streamlined approach allows institutions to resolve issues faster without relying on third parties or worrying about missed deadlines 1.
Casap's AI agents handle the full dispute lifecycle, from intake to chargeback filing and member communication 2. The platform's focus on first-party fraud, which now accounts for 30-50% of total fraud losses, makes it a valuable tool for financial institutions looking to modernize their dispute resolution processes 3.
The funding will support key hiring and continue executing on Casap's vision of eliminating friction across the payments lifecycle 1. Emergence Capital's Carlotta Siniscalco stated that Casap turns disputes into an opportunity to earn trust, transforming them into a loyalty driver and a competitive advantage 1.
Disputes are one of the most outdated, slow, and expensive workflows in financial services. Casap's AI-powered platform is already in use by a fast-growing base of credit unions, banks, and fintechs, redefining how financial institutions operate payments to turn fraud and inefficiency from everyday realities into rare exceptions 2.
The recent funding signals a surge in demand from financial institutions looking to streamline dispute resolution and reduce fraud losses while building consumer loyalty 1. With its AI-powered platform, Casap is poised to revolutionize the payment dispute lifecycle and help financial institutions thrive in the digital age.
