MX Teams Up with Personal Financial Wellness App Dave

Fresh from being showcased by Forbes in its Next Billion Dollar Startups 2019 feature last month, PFM app Dave has partnered with leading financial services data platform MX, and will leverage the company’s technology to help users better analyze their expenses and manage their finances. The app, which has more than 3.5 million users, helps with budgeting and building credit, and improves cash flow by helping users access short-term financing between paydays. And rather than charge fees, Dave users pay for the service on a “tip-based model.”

“The deliberate approach Dave has taken to empower greater financial strength and solve the pervasive financial pain point of overdraft fees is inspiring and exactly the kind of innovation MX loves to enable through its highly available and augmented data platform,” MX Chief Customer Officer Nate Gardner explained.

Described as the finance version of David taking on the Goliath of the big banks, Dave was launched in 2016 by Paras Chitrakar, John Wolanin, and current CEO Jason Wilk. The app was named App of the Day at the Apple Store in the spring of 2017, and has been downloaded nearly 10 million times. In Forbes’ profile of the company last month, the authors noted that Dave had raised $13 million in funding, and estimated the company’s 2018 revenues at $19 million. Mark Cuban is among the company’s investors.

MX demonstrated its latest innovations at FinovateFall 2017, where it presented Discovered Accounts, a solution that helps financial institutions maximize the personalization opportunities that exist within transaction data. The company is a multiple time, Finovate Best of Show winner, having been honored by Finovate attendees six times since their Finovate debut in 2014 (as Money Desktop).

In June, MX announced a major funding, picking up $100 million in a round led by Battery Ventures. The additional capital took MX’s total financing to $175 million, and will help fuel product development and the hiring of what MX founder and CEO Ryan Caldwell called “the best talent in the industry.” He added, “We could have raised several times this amount, but we simply didn’t need the capital. We are disciplined in our spending and building for the long term.”

Dave is not the only partnership MX has forged this year. The company announced in May that it was teaming up with Meridian to make its Pulse personal financial wellness solution available to the credit union’s customers. Meridian is the largest credit union in Ontario, Canada, and the third largest in the country.

Also in May, MX partnered with fellow Finovate alum Kony, who will leverage MX’s PFM expertise to enhance its own digital banking experience product, Kony DBX.

Earning a 2019 Utah Genius award in April, Lehi, Utah-based MX has more than 2,000 financial institutions and 43 of the top 50 digital banking providers as partners. The company was founded in 2010.

Categories: MX

Agreement Express Partners with F1 Payments

Austin, Texas-based F1 Payments will leverage technology from Agreement Express to enhance its merchant underwriting and onboarding processes. Agreement Express’ client onboarding software platform, which the company demonstrated at FinovateFall 2016, will enable F1 Payments to automatically underwrite merchants in under 15 minutes, and offer them a seamless, digital alternative to the traditional onboarding experience. F1 will also benefit from Agreement Express’ enterprise-level APIs and integrations for secure connections to acquirers and proprietary systems.

F1 Payments President Chad Anselmo connected his company’s mission to accelerate the process for all participants in the business payments ecosystem with the decision to partner with Agreement Express. “Adding Agreement Express to our tech stack allows us to provide a unique, seamless and secure underwriting and onboarding experience for our clients and partners,” he said, “all of which results in increased levels of merchant acquisition and brand loyalty.”

“It was evident from our first conversations that F1 was hyper-focused on providing partners and customers a seamless, secure and efficient experience during the underwriting and onboarding process,” Agreement Express Senior Account Executive Brandon Yttri said. He praised the company’s “customer-centric approach to partnership” and called F1’s decision to select Agreement Express’ platform as “a concrete demonstration of (F1’s) dedication to providing relevant and innovative resources that fuel growth for clients and partners.”

A registered ISO of Fifth Third Bank in Cincinnati, Ohio, F1 Payments offers merchant processing, chargeback management, consulting, and other financial services. Founded in 2017, the firm leverages a diverse payments technology ecosystem to increase business velocity and provide frictionless connections for its clients and partners.

Headquartered in British Columbia, Vancouver, Canada, Agreement Express’ partnership news comes just a month after the company reported that it was working with payments-as-a-service provider Zift to improve merchant underwriting and onboarding at the Spanish Fork, Utah-based firm. This spring, Agreement Express announced a collaboration with Paya Services that made the company’s check and ACH offerings available via the Agreement Express Unified Application.

Agreement Express began the year with a major C-suite onboarding of its own, appointing former Zywave CEO and founder Dave O’Brien as its new Chief Executive Officer. Mike Gardner, who founded the company in 2001 and had served as CEO, will transition into the role of Chief Strategy Officer, as well as continue to serve on the company’s board of directors.

Finovate Alumni News

On Finovate.com

  • Agreement Express Partners with F1 Payments.
  • MX Teams Up with Personal Finance Wellness App Dave.

Around the web

  • PayPal partners with MetLife and VC Village Capital to support innovation in healthtech.
  • Currencycloud among four companies to win £10 million grant from the Board of Banking Competition Remedies (BCR) to boost financial services for SMEs.
  • Liferay appoints Matt Poladian as Vice President of People, the company’s first global HR executive.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Scalable Capital Raises $28M

Munich-based robo-advisor platform, Scalable Capital, has raised a further €25 million in growth capital, two years after BlackRock invested €30 million, writes Jane Connolly of Fintech Futures (Finovate’s sister publication).

Handelsblatt reports that HV Holtzbrinck Ventures and Tengelmann Ventures also took part in this round.

Founded in 2016, Scalable aims to target high-earning young professionals, who invest an average of €35,000. Customers can answer a list of questions about their experiences and objectives, to receive a recommendation for a portfolio of listed index funds (ETFs).

Although the amount raised is relatively low for the industry, Scalable Capital founder Erik Podzuweit said, in the Handelsblatt Disrupt podcast: “Actually, we did not need the money, because unlike some other business models, each customer pays for the offer.”

He added: “So we took the money and can now grow a little faster and at the same time still keep something in reserve.”

BlackRock acquired just under a third of the company two years ago. Despite the capital increase, the founders still have ownership of more than a quarter of the business.

Scalable Capital demonstrated its technology at FinovateEurope 2016. Last month, the company teamed up with Futurae to add multi-factor authentication to its investment platform. This spring, the company was named to the Wealthtech 100.

Finicity Launches Student Loan Account Verification

With more employers helping their employees repay their student loans these days, the launch of Finicity’s Student Loan Verification solution means those employers will soon be getting some help of their own.

The new product unveiled this week will enable employer repayment programs to access Finicity’s ACH endpoint to confirm accounts and routing numbers when making student loan repayments on behalf of their employees. Student Loan Verification leverages Finicity’s embeddable web app, Finicity Connect, to provide an intuitive user experience for the employee and ensure an easy integration with student repayment platforms for the employer.

“Student loans have become a major concern for individuals and families, with three out of four graduates burdened by debt,” Finicity COO and President Andy Sheehan said. “We are excited to contribute to an emerging trend in employer contributions to student debt by delivering a solution that eases the process and increases efficiency.”

Among the companies to take advantage of the new offering is fellow Finovate alum Vault. The company, which demonstrated its technology as Student Loan Genius at FinovateSpring 2016, has partnered with Finicity to add Student Loan Verification to its employer-paid student loan contribution solution.

“Companies are rapidly evolving their benefit offering to meet the needs of the modern workforce,” Vault CEO Matt Beecher said. “We chose Finicity to enhance our user experience within our student loan repayment benefit because of the technology’s superior coverage and capabilities.”

This week’s product release follows news of the Finicity’s big partnership with Ellie Mae, announced two weeks ago. This integration makes Finicity’s Verification of Assets (VoA) solution available via Ellie Mae’s Encompass Digital Lending platform. Ellie Mae has more than 230,000 users and thousands of providers in its partner network. Like Vault, Ellie Mae is also a Finovate alum, having demonstrated its Encompass Consumer Connect and Encompass Developer Connect offerings at FinovateSpring 2017.

“With the integration of Finicity’s digital Verification of Assets through our Encompass Digital Lending platform, we are further enabling loan officers, processors, and other key lender participants to reduce cycle-times and offer a more complete digital mortgage experience for their customers,” SVP of Business Development for Ellie Mae Parvesh Sahi said when the integration was announced.

Founded in 1999 and based in Salt Lake City, Utah, Finicity made its most recent Finovate appearance at FinovateFall 2017, where the company demonstrated its credit decisioning technology. This year, it addition to its partnership with Ellie Mae, Finicity announced it was teaming up with LendingQB who will leverage Finicity’s Verification of Assets solution to accelerate loan processing and enhance the user experience for borrowers. In April, Finicity announced an integration with Pulte Mortgage, which will also use the company’s VoA solution to speed the home financing process.

Finicity has raised $79.9 million in funding. The company includes Experian and Bridge Bank among its investors. Co-founder Steven Smith is CEO.

Meet the Future of Fintech at FinovateFall Next Month in New York City

With many fintech fans still enjoying the last few days and weeks of summer vacation, it can be hard to believe that FinovateFall is right around the corner.

Our fall fintech showcase returns to the New York Marriott Marquis in Manhattan’s Times Square next month, September 23rd through September 25th. We will also feature a special Summit Day on September 26th, not covered by the general admission ticket, that will have a focus on artificial intelligence and wealthtech.

Find out more about our conference agenda, including how to register and save your spot. Pick up your ticket by Friday, August 16th and take advantage of early bird savings.

Get to know FinovateFall’s demoing companies in our Sneak Peek series

Over the next few weeks between now and our annual autumn event, we’ll profile the companies that will demonstrate their latest technologies live on the Finovate stage as part of our FinovateFall Sneak Peek series. Find out how some of our industry’s most ambitious startups and innovative veterans are shaping the future of fintech today.

And to help you get ready for FinovateFall beyond the demos, the Finovate blog will also feature profiles of our conference speakers, and an advance look at some of the topics that will drive our keynotes and panel discussions at the event.

More details on FinovateFall are available at our conference page. Check out the full list of demoing companies, our keynote speakers and deep dive sessions, as well as information on how to plan your visit. If you have any questions, send us an email and we’ll get back to you as soon as we can.

Finovate Alumni News

On Finovate.com

  • Scalable Capital Raises $28 Million.
  • Finicity Launches Student Loan Account Verification.

Around the web

  • Splitit announces partnership with music software provider Ableton.
  • Jack Henry reports partnerships with 57 community financial institutions in fiscal 2019.
  • Western Union deploys customer journey optimization solution, Nexidia, from Nice Systems.
  • Venmo launches instant transfers to bank accounts.
  • Quadient unveils new archived document and data retrieval solution.
  • Euromoney features BioCatch in its look at the fintech scene in Israel.
  • SuperMoney tops $2 billion in loan requests via its online lending marketplace platform.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

BizEquity Acquired by American City Business Journals

A “significant capital investment” will make BizEquity a part of the country’s biggest publisher of news and information on local businesses. American City Business Journals (ACBJ) announced today that it has acquired a majority stake in the business valuation specialist that will help fuel the company’s growth, as well as add to ACBJ’s own suite of business information services.

ACBJ CEO Whitney Shaw highlighted both points in explaining the reasons for the company’s investment in the businesstech firm. Noting that American City Business Journal’s primary service is delivering business news to people in the communities where those businesses operate, Shaw underscored BizEquity’s contribution to ACBJ’s product line-up. “Through BizEquity, we can enhance our core offering by giving additional, valuable information and insights to businesses of all sizes and to the professionals who serve them,” Shaw said.

BizEquity founder and CEO Michael Carter anticipates leveraging ACBJ’s “coast-to-coast footprint” and presence in 43 American cities to help broaden the market for BizEquity’s technology. “Democratizing business valuation knowledge to the more than 31 million private businesses in North America has been our mission from day one,” Carter said. “No information is more critical to a business owner’s future than knowing what his or her business is worth. BizEquity unlocks that information.”

Post acquisition, Carter will serve as the head of a newly-formed information services group at American City Business Journals, according to reporting in the Philadelphia Business Journal.

BizEquity’s cloud-based technology examines 143 different data points to enable owners and managers to monitor business valuation over time and see what forces make the most impact on value. BizEquity’s valuation service is available via a network of more than 650 financial institutions and 2,500+ advisors, bankers, accountants, and other financial professionals. The company’s partners include firms like Experian, TD Bank, and Mass Mutual Financial Group.

The acquisition news comes just days after the company disclosed a new partnership with UBS. The agreement will enable UBS financial advisors operating in the U.S. to access BizEquity’s database of businesses and valuation information. “Our advisors are constantly looking for new ways to grow their business and expand their reach, particularly in middle-market businesses,” explained James Jack, director of the business owner strategic client segment at UBS Financial Services. “Access to the BizEquity platform will help us to deliver highly tailored advice to our clients.”

BizEquity demonstrated the latest features of its BizEquity One UK platform at FinovateEurope 2015. These enhancements included real-time dynamic valuations updated daily, a powerful new search feature for pre-valued businesses in the U.K., real time advice and alerts, and an updated dashboard that provides an easy-to-understand, infographic-like view of business valuation and KPIs.

ezbob Offers Smart Onboarding Solution

Digital lending-as-a-service solution provider ezbob is making its smart onboarding module available to banks. The solution will enable banks to meet their KYC, AML, and sanctions challenges, as well as provide a better, more seamless experience for customers.

“When it comes to KYC, banks have made large investments, growing their compliance teams in order to deal with the new stringent regulatory requirements,” ezbob CEO Tomer Guriel said. “Clearing a customer now requires more back and forth with the client and at the end of the day it is the customer journey that suffers.”

The Smart Onboarding Engine enables banks to design, build, and manage onboarding journeys for current accounts, lending products, wealth services and other solutions – leveraging APIs to control the customer experience. The engine also offers smart, real-time monitoring analytics to help banks improve and optimize the onboarding process. And by using single sign on (SSO), customers can easily move from one product to another without having to provide credentials each time.

“With ezbob’s solution, once the customer clicks submit, that’s where our system instantly starts making API calls to databases, such as LexisNexis, in order to verify the customer,” Guriel said. “By cross-checking multiple data sources through out own KYC risk engine, we’re able to deliver a true ‘Pass/Fail’ along with whatever additional information may be required.”

ezbob has already won plaudits for its onboarding solution. Earlier this month, the company announced that its Smart Onboarding Engine helped it win Best Fintech Partnership honors at The Banker’s Tech Project Awards. The onboarding engine is part of ezbob’s Catalyst+ omni-channel, omni-product, modular LaaS solution, featured earlier this year.

Founded in 2011 and based in London, U.K., ezbob demonstrated its lending technology at FinovateEurope 2014. Among the first online, fully-automated lending platforms for small businesses, ezbob pivoted in 2017 to focus on providing lending-as-a-service (LaaS) solutions to banks. Since then, the company has forged partnerships with companies like American Express, NatWest, and Yorkshire Bank to help power SME lending products.

ezbob has raised more than $124 million (£103 million) from investors including Honeycomb Investment Trust, Leumi Partners, and Oaktree Capital Management.

Finovate Alumni News

On Finovate.com

  • ezbob Offers Smart Onboarding Solution.
  • BizEquity Acquired by American City Business Journals.

Around the web

  • Spreedly – in partnership with Webio – wins 2019 Innovation Lab Award at Payments Ed Forum.
  • Australian FinTech looks at the possibility of iSignthis becoming the next big neobank.
  • Infosecurity Magazine features Veridium Chief Revenue Officer Jason Tooley on the challenges law enforcement faces when using biometrics.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.