MoneyLion, the New York based fintech startup has confirmed securing $160 million Series C funding which is co-led by Edison Partners and Greenspring Associates. MetaBank and FinTech Collective also participated in the latest financing which reportedly means that the firm is very close to acquiring the unicorn status.
The company had raised $42 million in Series B round, which was led by Edison Partners in January last year. The total amount raised by the firm now stands at $227.5 million. The company counts the names like Group Sura, Greenspring Associates, DHVC, Citizen.VC, Broadhaven Capital Partners, Clocktower Technology Ventures and others among its investors.
Founded in 2013 by Chee Mun Foong, Diwakar Choubey, and Pratyush Tiwari, MoneyLion describes itself as a “Costco/Netflix” of the financial industry. Through the platform, MoneyLion offers membership model: new mobile online banking and managed investment services, a no-fee checking account, savings, credit-building, cash advances, and personal loans. The company utilizes machine learning and AI features to offer personalized services.
The company offers its services through a subscription where it charges $19.99 per month which includes banking, core investment management, and access to financing. The fresh funding will go towards the revamp of the subscription offerings and finance models along with adding more features for the customers.
Dee Choubey, the co-founder and CEO while speaking to Techcrunch said, “You will see us investing heavily in broker-dealer capabilities, training capabilities, and stock investing capabilities. We think of ourselves approaching financial services just like Netflix approaches to content. We want to keep users hooked to the platform."
Greenspring Associates’ General Partner Hunter Somerville talking about the investment said that We believe that MoneyLion, with its financial membership model and holistic approach to providing an all-in-one financial solution for millions of Americans, has created the most complete mobile banking destination in the market. We’re proud to back what we see as the digital banking platform of the future.”