Challenger Bank point Raised $ 46.5 million in a Series B funding round. The company offers an account associated with a debit card. And startups are establishing themselves as premium debit card companies and trying to offer credit card rewards with debit cards.
Existing investor Peter Thiel’s Valar Ventures has invested more money in the company and is leading the Series B round. Other investors include Breyer Capital, YC Continuity and Human Capital. The company raised $ 10.5 million in a Series A round 18 months ago, before raising a seed round. This means that the points have raised a total of $ 60 million.
Point wants to create a credit card protection card. The company is trying to maintain the good points of credit cards, but it leaves behind some bad points. Many people think that credit cards are slippery slopes. If you spend too much money unaware that you will not be able to achieve your goals, you will pay a profit. Those profits can make it even harder to pay off your credit card debt.
As a result, credit card incentives are attractive and scary. If you have enough savings or you are making a lot of money, paying your credit card invoice will not be a problem. However, this is not always the case.
Points tell you that you should throw away your credit card altogether. Once you open a loyalty account, you can charge with another debit card or set up a deposit directly with your employer. Opening a points account currently costs $ 49 per year. There are free ATM withdrawals twice a month and there are no overseas transaction fees.
After that, you can safely spend your money with your loyalty card. Being a debit card, I know I have enough money to pay for the purchase. Whenever you want to buy something expensive, you must first replenish your account.
Point users can earn points for each purchase. Earn 5x points for subscriptions such as Spotify and Netflix, 3x points for food delivery and ride sharing, and 1x points for everything else. If you pay with a point card, you can also use travel cancellation insurance, car rental insurance, global travel assistance, telephone insurance, and new purchase insurance.
You can control the loyalty card from the loyalty app. You can lock and unlock whenever you need it, and you can choose to receive notifications at any time. The loyalty debit card also works with Apple Pay and Google Pay.
In today’s funding round, the company plans to hire more people, launch new features and introduce new products. In other words, don’t expect big changes. But the company now has more money to expand more rapidly.
Point raises $46.5 million for its premium debit card – TechCrunch Source link Point raises $46.5 million for its premium debit card – TechCrunch