Fintech start-up PFC, which offers similar services to the likes of Revolut and N26, has just secured €5m in funding.
In 2012, Swedish neobank PFC (Personal Finance Company) was founded with the aim to make personal finance more transparent and simple with the use of technology.
The company defines a ‘neobank’ on its blog as a “digital bank without a storefront, usually only controlled by a mobile app”.
This morning (4 July), PFC announced that it has raised €5m in funding, in a significant investment from Nordic banking titan Nordea, which operates in 20 countries around the world. These countries include Finland, Norway, Denmark and Sweden, as well as countries further east such as Latvia, Lithuania and Russia.
PFC, which has been compared to the likes of Revolut and N26, operates on a much smaller scale than Nordea, but it’s hoping to use the investment to hit the 100,000 user mark by the end of the year.
Like Revolut and N26, PFC began without an application for a banking licence (which would allow it to lend out money and offer overdrafts). It’s not clear if that’s the direction that PFC eventually plans to go in.
PFC allows users to instantly top up their cards; however, it does this through Swedish mobile payment technology Swish. It also shares the digital banking app commonality of serving as a travel card, and does not charge users for purchases and ATM withdrawals abroad.
On PFC’s website, the fintech start-up stresses the importance of having a diverse team behind its app. “We are a team of people from many different cultures and diverse perspectives who are creating the future of banking in the Nordics. We celebrate and thrive on our differences for the benefit of each other and for the breadth of perspectives it gives us.
“We represent more than 11 different national origins including Sweden, Germany, Brazil, Italy, Ireland, Croatia, China, Poland, Romania, Ukraine and the United States; a diversity of sexual orientations; and multiple beliefs and religions. And we hope that list keeps growing!”
Ewan MacLeod, chief digital officer at Nordea, commented on the deal: “We are delighted to have PFC in our portfolio as it provides a personalised digital solution for customers. We see the investment as a great opportunity for us to team up and support PFC in their growth.”