Beneficial State Foundation and Stratyfy Announce Next Phase of Groundbreaking Underwriting for Racial Justice Lender Pilot Program

Following a successful two-year pilot, a select group of lenders will continue to innovate their underwriting practices and expand access to credit by leveraging Stratyfy’s AI-assisted decisioning software.

Oakland, CA – May 14, 2026 – Beneficial State Foundation, a nonprofit that equips and connects bank leaders to create financial wellbeing for all, and Stratyfy, a leading provider of transparent decisioning and predictive analytics software, today announced an extension of their Underwriting for Racial Justice Lender Pilot Program. Building on the success of the first two years of the program, a select group of four lenders will continue to use Stratyfy’s credit decisioning tool to modernize their underwriting frameworks over an additional year, improving efficiency and equity across their lending portfolios. 

The initial Lender Pilot Program demonstrated that financial institutions can safely expand their reach to underserved customers by utilizing Stratyfy’s more precise, data-driven risk assessment tools. These results have been rigorously tested and deployed at participating institutions. By leveraging Stratyfy’s transparent machine learning solution, participating institutions have eliminated manual bottlenecks and more accurately identified creditworthy applicants often overlooked by traditional scoring models. Peer learning and collaboration facilitated by Beneficial State Foundation enabled participants to share real-time lessons, challenges, and success stories.

“Our work in the pilot program proved that there is a massive, untapped market of creditworthy individuals who are simply overlooked by legacy systems,” said Laura Kornhauser, Co-Founder and CEO of Stratyfy. “As we move into this next phase, we’re continuing to prove that equitable lending is just better business: more compliant, more expansive, and more profitable.”

The program has already delivered impressive results: 

• One participating lender, BetterFi, achieved a 21% increase in approvals within BIPOC communities and a 20% increase to moderate-income borrowers after implementing more precise risk assessment tools to enter rural markets.
• Another lender, Working Solutions, reduced its underwriting timeline from two weeks to just two days.

The next phase will scale this impact by helping lenders re-evaluate credit thresholds and implement faster, more efficient decision-making across their portfolios. The participants in this one-year extension are: Beneficial State Bank, BetterFi, New Orleans Firemen’s Federal Credit Union, and Working Solutions.

“We’re committed to helping lenders evolve their business models to meet the capital needs of more people across the country,” said Erin Kilmer Neel, Executive Director of Beneficial State Foundation. “By refining the underwriting process, these institutions are not just promoting equity, they are strengthening their own practices and driving broader economic growth.”

The participating lenders represent community-focused institutions that, while operating without the massive technical infrastructure of large banks, remain deeply committed to operational excellence and financial inclusion. Their commitment underscores industry demand for AI-enabled credit decisioning that provides the transparency necessary for regulatory compliance and sound risk management. It also shows that this work can be done at institutions of any size. 

“Partnering with Stratyfy and Beneficial State Foundation allows us to take a rigorous, data-driven look at our underwriting strategy and responsibly expand credit access while maintaining risk discipline,” said Davis Khounesavatdy, VP, Consumer Lending at Beneficial State Bank. “This work empowers us to grow our portfolio with purpose and ensure our lending aligns with our values and our commitment to the communities we serve.”

“As a credit union, our mission has always been to serve the underserved and bring fair financial services to underbanked communities,” said Judy DeLucca, President & CEO of New Orleans Firemen’s Federal Credit Union. “The Underwriting for Racial Justice program has helped us apply more precision and consistency to our lending decisions so we can help even more people reach their financial goals. We’re excited to continue working with Stratyfy and Beneficial State Foundation to build upon that progress.”

Through this continued partnership, Stratyfy and Beneficial State Foundation are creating a scalable framework for the future of finance — one where data-driven precision replaces antiquated barriers, leading to a more vibrant and equitable economy for all. To learn more about Underwriting for Racial Justice and access resources on equitable banking, visit https://beneficialstate.org/urj/. 

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ABOUT BENEFICIAL STATE FOUNDATION

Beneficial State Foundation is a 501(c)3 nonprofit that equips and connects bank leaders to create financial wellbeing for all. For nearly two decades, the Foundation’s research, programming, and partnerships have improved racial, economic, and environmental outcomes across the banking industry.

ABOUT STRATYFY

Stratyfy is a leader in decision analytics and optimization for financial institutions, providing transparent, regulator-ready AI solutions for data preparation, underwriting, and fraud detection. By combining machine learning with human expertise, Stratyfy enables organizations to make faster, more accurate, and more profitable decisions while ensuring compliance and fairness. Recognized as a Banking Tech Awards USA winner and a two-time AIFintech100 honoree, Stratyfy empowers financial institutions to modernize their operations and drive data-driven growth. For more information, visit www.stratyfy.com and follow Stratyfy on LinkedIn.

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Kristin Williams
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