Challenger bank Current raises $131mn in Series C funding at a valuation of $750mn

By Pavithra R

New York-based leading challenger bank Current aimed to serve Americans overlooked by traditional banks has announced it has raised $131 million in Series C funding round led by new investor Tiger Global Management.

The new finance has brought the company’s total funding raised till now to over $180 million and has a valuation of $750 million. The year turned out to bring exponential growth for Current, which has doubled its member base in less than six months to surpass 2 mn members. Revenue has also increased over 500% year over year to firmly establish the challenger bank as an industry leader in the U.S.

“We have seen a demonstrated need for access to affordable banking with a best-in-class mobile solution that Current is uniquely suited to provide. We are committed to building products specifically to improve the financial outcomes of the millions of hard-working Americans who live paycheck to paycheck, and whose needs are not being properly served by traditional banks. With this new round of funding we will continue to expand on our mission, growth and innovation to find more ways to get members their money faster, help them spend it smarter and help close the financial inequality gap,” said Stuart Sopp, CEO and Founder, Current. 

The investment round also saw participation from new investors Sapphire Ventures and Avenir. Foundation Capital, Wellington Management Company and QED Investors returned to fund the company. The FinTech is planning to use the finance to expand its product offerings to continue to meet the financial needs of its core demographic and improve even more financial lives.

“We’re proud of our ability to deliver on our promises to our members, especially at times many needed it most this year. Our growth this year highlights the need of so many Americans for faster access to money, the trust we’ve built with them and we look forward to accelerating into 2021,” added Sopp.

Founded in 2015, Current focus on creating better financial outcomes for people and their unique lives. Its custom-built banking technology platform Current Core makes this possible by providing greater stability, faster money and cost efficiencies that are passed on to its community of members.