Murphy, a Spain-based AI platform transforming debt servicing through autonomous agents, has raised €12.8 million (US$13.95 million) in pre-seed and seed funding to expand its operations in Europe and the United States.

The funding round was led by Northzone, with contributions from ElevenLabs, Lakestar, Seedcamp, and Enzo Ventures.

The new funding will be allocated to scaling its product, improving technical and marketing teams, and supporting international expansion efforts.

Founded in 2024 by Borja Sole and Marc Sanchez, Murphy creates AI solutions for automating debt servicing processes.

The platform replaces traditional call centers with autonomous agents that operate in over 100 languages and across multiple channels.

Murphy’s technology is used by financial institutions, telecommunications firms, and utility companies in Europe.

The company manages hundreds of millions of dollars in debt and reports higher recovery rates than standard methods.

🔗 Source: EU-Startups

🧠 Food for thought

1️⃣ Debt collection’s digital pivot is addressing longstanding industry inefficiencies

The debt servicing industry’s transformation through AI addresses fundamental inefficiencies in a massive market that has remained largely analog until recently.

Traditional debt collection has relied heavily on call centers and generic outreach methods, explaining why approximately 74% of consumers now prefer digital interactions over traditional methods for managing their debts 1.

The $300+ billion global debt servicing industry has historically struggled with high operational costs and limited personalization, creating an opportunity for AI-driven approaches to significantly improve economics.

By automating routine interactions through AI voice agents while maintaining compliance, companies can handle thousands of cases simultaneously. Murphy’s approach of omnichannel, AI-powered communication could deliver their claimed 40% higher recovery rates.

This shift reflects broader fintech trends where automation is addressing labor-intensive processes that previously required massive human workforces to manage at scale.

2️⃣ Regulatory complexity creates both barriers and opportunities in AI debt collection