UK-based Moneybox, a company that provides a user-friendly app to help people save and invest by rounding up their purchases to the nearest pound and setting aside the spare change, has secured £30 million through a Series C investment round that was led by Eight Roads and CNP, along with participation from Breega.
Established in 2016, Moneybox started by offering consumers a way to invest the spare change from everyday card purchases into Stocks & Shares ISA.
The investment and savings app provider recently reached £1 billion in assets from over 450,000 clients.
Moneybox said it would use the funds raised to further develop and expand its line or products and services. Notably, the Fintech firm’s recent round has been finalized at 2x the valuation of its 2018 Series B round.
Moneybox’s management noted that they will be investing in new technology and plan to scale the company’s 120-strong team by hiring new staff members. Moneybox also mentioned that it wants to invite customers to pre-register for its very first crowdfunding campaign – which will be conducted on Crowdcube.
Ben Stanway, co-founder, Moneybox, stated:
“Securing this funding enables us to continue to build the products, tools and technology to help people achieve their goals easily – whether it’s buying a house, saving for retirement or just a rainy day.”
Moneybox’s customers have reportedly been depositing around £100 million onto the platform each month. The Fintech firm has now raised a total of £51.3 million.
In November 2019, Nesta, in partnership with Open Banking Limited (OBL), announced the Open Up 2020 Challenge finalists. According to Nesta, the 15 finalists were selected out of 107 entries.
Many of the Fintechs, which include Moneybox, are live and in the market already.
Moneybox is authorized and regulated by the Financial Conduct Authority (FCA) and investments are covered by the government’s Financial Services Compensation Scheme up to a limit of £50,000, in the unlikely event that a product provider or Moneybox is declared bankrupt.
Stanway had noted in July 2018 (following the company’s £14 million series B funding round):
“Moneybox customers are investing their money, and with those, the money that’s being saved is going into zero-interest accounts. You might want to save towards a house rather with a lifetime ISA, which you can’t do with those. You might want to consolidate your pensions. Over the long run, our funds should deliver.”