MoneyLion Raises $160M To Expand Financial Tools, Customer Growth

Fintech companies like MoneyLion that offer financial advising, lending and investment services continue to compete with traditional banks and institutions with competitive consumer offerings and perks.

Bolstered by a recent round of funding, MoneyLion remains dedicated to completely changing the way their multitude of consumers interact with finances.

“We have surpassed over 5 million members in our community,” said Dee Choubey, CEO and Founder of MoneyLion in an interview with Benzinga. “The engagement that we see in our product makes us one of the most engaging financial ecosystem platforms in the market today.”

What Happened

The mobile bank announced Tuesday its $160 million in funding; which includes $60 million in previously unannounced financing and $100 million from the Series C funding round led by Edison Partners, Greenspring Associates and Capital One.

Including this funding, the company will have raised over $200 million in equity financing, according to the press release.

“We created MoneyLion with a focused goal of providing people with the most valued banking experience in the world,” said Choubey.

“In 2018, we helped our members avoid over $7.2 million in traditional banking fees, generated over $12 million in cashback rewards and helped 70% of our members increase their credit scores by 30 points. The strategic investment from these leading financial institutions validates our mission and approach and demonstrates their acknowledgment of a dynamic shift in consumer banking.”

Why It’s Important

Through MoneyLion’s unique memberships, millions of users have had access to banking, investing, credit-building and more all in a convenient one-stop shop.

“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,” said Hunter Somerville, General Partner at Greenspring Associates. “We’re proud to back what we see as the digital banking platform of the future.”

What’s Next

With the recent proceeds, MoneyLion announced plans to accelerate customer growth and memberships, a rate that has exceeded 1,000% in 2019 alone, the press release said.

In order to maximize the use of memberships and customer experience, MoneyLion plans to expand its product offering through the launch of new financial tools, making it even more of a popular destination for consumers seeking financial assistance.

“Today MoneyLion is the most efficient way for the middle-income households in America to manage their finances,” Choubey told Benzinga. “Whether that’s banking or an investment account, it continues to be the most efficient from a cost perspective and most powerful from a feature perspective.”

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