US-based finance management tool developer Digit secured $27.5m in series C funding on Monday from investors including Citi Ventures and GV, investment vehicles for banking group Citi and internet technology conglomerate Alphabet.
Venture capital firm General Catalyst led the round, which also featured Ribbit Capital, Freestyle Ventures, Financial Venture Studio and undisclosed other investors.
Digit has created a mobile app that connects to a user’s bank account, tracks their spending and puts a small amount of money aside each day to save for prespecified goals. Each user’s data is encrypted, and the company charges $5 per month for the service.
The round comes weeks after Digit introduced an overdraft protection tool that helps prevent users being charged unnecessarily for going into their overdrafts. It said it has increased its headcount by 50% to 60 people in the past 90 days and is continuing to hire.
Ethan Bloch, Digit’s founder and chief executive, said: “Millions of Americans struggle to manage their finances, and we are working hard to change that. This round of funding means we get to continue to pursue our mission in an even more impactful way.”
The round took the company’s funding to almost $64m since it was founded in 2013, including $2.5m in seed capital from GV, Baseline Ventures, Freestyle Capital, Upside Partnership, Operative Capital and various angel investors in 2014.
Digit received $11.3m in a 2015 series A round led by General Catalyst and backed by GV, Baseline Ventures and individual investors including Hans Morris, before Ribbit Capital led a 2016 series B round that included all its existing investors.
