Dave Banking Positioned To Become Fastest Growing Digital Challenger
Bank In US Market
LOS ANGELES–(BUSINESS WIRE)–Today Dave,
the finance version of David and Goliath, is again taking on the big
banks by launching its own unique banking product. Dave
Banking is the first account to automatically build credit by
reporting everyday payments like rent and utility bills to the credit
agencies. The account also provides a $100 no interest overdraft advance
to cover budget gaps, which is available regardless of a user’s current
credit score.
“Banks have failed their customers by building products that put their
own interests ahead of the humans who use them. People don’t need
predatory fees, they need tools that actually solve their challenges
around credit building, finding work and getting access to their own
money to cover immediate expenses. Dave is the banking product that
works with its customers, not against them,” said Jason Wilk, Co-Founder
and CEO of Dave.
The account, which has the tagline, “Banking For Humans™,” is launching
this week to 500 thousand waitlist signups from current Dave users. It
provides helpful, first-of-its-kind features including:
-
$100 no interest overdraft alternative – With Dave Banking,
users can advance $100 with no interest to cover immediate expenses
and gaps in their budgets. -
Free credit-building – Dave Banking is the first checking
account to report regular rent payments to the credit agencies to help
automatically build users’ credit. Payments reporting for utilities
like water, gas, electric, and mobile phone plans will also soon be
available. This process is supported via an exclusive partnership with CreditPop,
a service that costs more than $100 per year. Users who deposit their
paycheck into their Dave Banking account receive this as a free
benefit. -
Automatic direct deposit switching – Dave partners with 60,000
employers to automatically route direct deposits into their Dave
Banking account. -
Side Hustle – Banking users will have access to 20
different types of part time jobs in their area through partnerships
with gig economy and sharing economy companies. -
Expense forecasting – With Dave Banking, users can access
Dave’s AI expense forecasting tool, predicting their account balance
before their next payday and sending helpful texts and alerts when
they’re in danger of dropping below $0.
Dave Banking accounts will be opened with Dave’s partner bank, Evolve
Bank & Trust, which is FDIC
insured. The account charges no monthly fees, no overdraft fees and
lets people start an account for free using a debit card.
In addition to the launch of Dave Banking, Dave is announcing today a
$110 million debt raise led by Victory
Park Capital to scale the company as it grows from a leading
personal finance app into a challenger bank in the US.
About Dave: Banking For Humans
Dave is the finance version of David and Goliath taking on the big
banks. A financial friend to the millions of Americans who use the app,
Dave helps with budgeting, building credit, finding work and accessing
money to cover immediate expenses before payday. Instead of mandatory
fees, Dave lets users pay what they think is fair through a ‘tip’ based
model. Dave users plant a tree for each % tip they leave when taking an
advance, resulting in tens of millions of trees planted. To learn more,
visit https://www.dave.com/.
Download the app in the App
Store or Google
Play.
Contacts
Natalie Rix
[email protected]
