Launched just four years again, Fintech platform Raisin has become an unqualified success. Today, the company is announcing that it has topped €5 billion in savings deposits having doubled the amount of accounts in just one year. Raisin, based in Germany, allows users to surf savings accounts across Europe empowering the user to select the firm that provides the highest rate of return. In the past, this process has been largely driven by geographic proximity but technology is lowering the playing field delivering value to both sides of the equation.
2017 was a record year for Raisin, in the last 12 months the company has increased the total amount of its customer deposits by more than €3 billion and has consolidated its leading position in the market: 100,000 customers, 12 new partner banks, more than 170 offers provided by the 40 integrated banks and just under 40 million in additional interest income. Raisin reports that during the past year it had its first month with a positive cash flow.
“In times of negative interest rates, many banks are not interested in their clients’ deposits and offer interest rates at 0 or even negative. Says Tamaz Georgadze, CEO and co-founder. “We are delighted to offer investors across Europe an attractive alternative. “
Raisin says that one of the reasons for its strong growth is its international positioning: in addition to Germany, customers from more than 30 European markets have access to the Raisin offer.
Last year, the company acquired its British competitor PBF Solutions to focus its efforts on the UK market – even post Brexit – in a more focused way.
At present, about 20% of new customers acquired are abroad, which is expected to continue to grow in the coming years.
It is a truism that customers want low cost, high quality investment products available online. In order to meet this demand, Raisin says it will develop its product offering and provid its customers new investment products in the hear future. Raisin will cooperate with its DAB partners BNP Paribas and Vanguard to offer its clients diversified and profitable ETF portfolios on a global scale.
Raisin has recently completed several rounds of financing, raising more than €60 million from investors such as PayPal, Thrive Capital, Index Venture and Ribbit Capital.