Goldman Sachs leads $50 million investment in millennial credit card start-up Deserve

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Goldman Sachs is betting on a Silicon Valley start-up thats seeking to modernize the systems underpinning the credit card industry. The company, which started out as SelfScore in 2013, initially targeted international students who couldnt get traditional credit cards. It later opened up to other groups of millennials who struggle to qualify for traditional cards because they lack a credit history. Last year, the firm returned to its original plan of offering its tech to financial institutions and other companies, what its dubbed "credit card as a service. " Most of the industry still relies on 1970s-era technology, including mainframes and the COBOL programming language, according to Deserve CEO Kalpesh Kapadia.

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