Will UPST's Credit Union Partnerships Strengthen Its Lending Growth?

Upstart Holdings UPST continues to expand its credit union footprint through new lending partnerships. Recently, Community Choice Credit Union (“CCCU”) selected Upstart’s marketplace to offer personal loans to more consumers.

In March 2026, CCCU partnered with Upstart to expand its personal lending program. On Upstart.com, eligible borrowers who satisfy CCCU’s credit criteria are presented with customized loan offers and then guided through a CCCU-branded experience to complete the online membership application and closing process.

Momentum in credit union partnerships has continued. This month, Upstart partnered with USF Credit Union, enabling the credit union to offer personal loans. Last month, the company also partnered with Justice Federal Credit Union to broaden its reach and effectively address the increasing consumer demand for accessible financial solutions. As more regional lenders adopt the platform, Upstart benefits from network effects and a broader, more diversified funding base.

At the same time, Upstart is strengthening its capital pipeline. In April 2026, the company secured a $1.25 billion forward-flow agreement with Fortress Investment Group to purchase consumer loans originated through its platform, supporting funding availability.

Upstart’s broader value proposition remains centered on AI-driven underwriting. The company connects millions of consumers with more than 100 banks and credit unions, while 91% of loans on its platform are fully automated, without any human intervention.

Over the past three months, shares of this Zacks Rank #3 (Hold) company have gained 11.9% compared with the industry's 5% growth.Zacks Investment Research

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Stocks to Consider

Some better-ranked stocks from the Zacks-Financial Miscellaneous Services sector are Alerus Financial, Inc. ALRS and Chime Financial CHYM, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for ALRS’s 2026 earnings per share (EPS) is pegged at $2.95, indicating a 12% increase from the prior-year period.

The Zacks Consensus Estimate for CHYM’s 2026 EPS is pinned at 30 cents, suggesting a year-over-year surge of 107%.

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This article originally published on Zacks Investment Research (zacks.com).

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