The funding comes at one of the most difficult times for fintech funding in decades
Santa Monica, California--(Newsfile Corp. - September 28, 2023) - Grow Credit Inc. has completed a $10m Series A round led by USAA, a financial services company serving the military community. This raise comes as a sharp contrast to other consumer-facing fintechs who are struggling for funding during the most challenging fundraising market environment in decades. The funding from USAA adds to the $10M raised in previous seed capital and $100m of debt capacity the company had secured to help the startup capitalize on its momentum, which saw it break into the top 30 financial mobile app.
The strategic partnership with USAA will help Grow Credit Inc., which has been working for financial inclusivity since 2018, accelerate its mission to reach more struggling segments in society, including those in the military, veterans, and their families.
Grow Credit Inc.
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The funds from the Series A round will be allocated to Grow Credit Inc. product development initiatives to enhance its platform that enables interest-free virtual credit card payments to over 100 popular subscriptions and all major cell phone plans. Joe Bayen, CEO of Grow Credit Inc., expressed his delight about the partnership with USAA, stating, "We are honored to have one of the financial services industry's most mission-driven institutions, USAA, as our lead investor. While fintech funding has dried up, their vote of confidence will help us in our mission to promote financial inclusion and empower veterans and military professionals and their families to build a brighter financial future. It saddens me to see visuals of the brave people who have served the country struggling financially in this era of expensive credit. With this investment, more people will be able to affordably demonstrate improvements in repayment history to all three major credit bureaus by leveraging their subscription accounts."
"USAA's mission for over 100 years has been to facilitate the financial security of the military community," said Nathan McKinley, VP and Head of USAA Corporate Development. "Access to credit is an important part of financial security, and Grow Credit is helping make that possible for more people, including members of the military."
Grow Credit Inc.
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The announcement coincides with other important news, which sees Francisco Rivera, AVP of Corporate Development at USAA, appointed to Grow Credit's board of directors. At the same time, the company has also promoted Jeff Anderson, former VP of legal risk at Discover, as chief compliance officer.
Joe added, "By leading this Series A round, USAA is making a resounding statement about its dedication to supporting fintech initiatives that prioritize inclusivity and helping people build credit. To ensure the partnership is a success, we have also promoted key individuals in our team. We hope our partnership will help us to create synergies in product development, growth, and business operation and drive accessible credit solutions to those who need them the most."
About Grow Credit Inc.
Grow Credit's innovative credit-building service lowers the barrier of entry for millions of Americans who need to establish and build credit. Combining a small-dollar loan with a virtual MasterCard, the service manages subscription payments, such as Netflix, and reports loan balances to the credit bureaus. The MasterCard is issued through Sutton Bank and is exclusively designed to pay subscription payments. Grow Credit is based in Santa Monica and was founded in 2018 by financial industry veterans. For more information, visit GrowCredit.com.
MEDIA CONTACT
Contact Person: Nick Roberts
Company: Grow Credit
Email: Press@growcredit.com
Website: https://growcredit.com/
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