The financial advice company has secured $64m in Series A funding led by Institutional Venture Partners (IVP). Other investors include RRE Ventures, iGlobe Partners and additional angel investors.
NerdWallet, founded 6 years ago with $800 by co-founder and CEO Tim Chen, informs customers about a variety of financial services from credit cards and bank accounts to mortgages and loans.
“Consumers don’t have a source of truth when making critical financial decisions. They are either turning to friends and family who aren’t experts or to advisors who want to sell them something,” said Tim Chen, CEO and founder of NerdWallet.
2014 saw 30 million people use NerdWallet. According to the company, its user base is increasing annually by over 150 per cent, whilst its revenues increased three-fold.
The new funding, combined with $33m flexible loan facility from Silicon Valley Bank and the existing cash reserves, gives NerdWallet a $100m war chest to commit to its goal of disrupting the personal finance market on the Internet.
“Traditional banking and financial services are under attack. The industry landscape will look dramatically different 10 years from today, with new technologies and startups changing the way consumers handle their finances,” commented Tom Loverro, leader of the RRE Ventures investment.
He also said that RRE Ventures was investing in companies that would transform “the last major category ripe for disruption”.
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