Despite the all-time highs of the stock market over the last decade, financial inequality in the U.S. has continued to rise, with 78 percent of American workers currently living paycheck to paycheck.
On top of this, two-thirds of American adults cannot pass a basic financial literacy test and nearly half of Americans do not have enough rainy day funds to cover three months of expenses — setting them up for financial stress.
Our co-founders Zuben Mathews and Hamel Kothari have both had personal experience with financial stress — it’s what drove them to create Brigit, a holistic financial health app helping every American build a brighter financial future.
With a business model that is aligned with our customers, we create transparent, fair, and simple financial products that put money back in the hands of our members, help them spend wisely, and avoid unfair fees.
Today, we’re proud to announce that we’ve saved our members over $250 million in fees since our launch, saving each member on average over $500 annually. To date we’ve helped over 1 million people move closer to financial stability with our tools.
We are also excited to share continued company momentum with our $35 million Series A round that’s led by Lightspeed Venture Partners, with participation from DCM (our lead seed investor), Nyca, Canaan, DN Capital, CRV, Core Innovation Capital, Shasta, Hummingbird, Abstract, Brooklyn Bridge Ventures, Secocha, Ashton Kutcher’s Sound Ventures, and Flourish Ventures.
“This pandemic has shown how the financial system is broken for many Americans, although the problems are not confined to the job losses caused by COVID-19. Brigit has built an empathetic app to help people avoid overdrafts and build overall financial health through turbulent financial times,” said Jeremy Liew, Partner at Lightspeed Venture Partners. “We’re honored to support them because, unlike many other financial institutions that serve the underbanked, Brigit aligns its success with its members’ long term financial success.”
Our team is fortunate to have eminent financial experts and consumer finance advocates as advisors, including: Corey Stone, former assistant director at the Consumer Financial Protection Bureau, Adrienne Harris, a board member of the Financial Health Network and former special assistant at the National Economic Council in the Obama White House, and Bobby Mehta, former CEO of TransUnion, and current board member of TransUnion and Allstate. In addition to the funding announcement, Jeremy Liew will be joining our Board of Directors.
“We thank our partners, supporters, and most of all, our members for believing in what Brigit is doing. This is only the beginning, we will continue to work tirelessly with our great team to eliminate financial stress everywhere we can,” said Mathews.