Digit, a San Francisco, CA-based provider of an automated savings tool for consumers, raised $11.3m in Series A funding round.
The round was led by General Catalyst Partners with participation from existing investors Baseline Ventures and Google Ventures, as well as Hans Morris, former president of Visa, and other individual investors.
The company, which has now raised $13.8m in total funding, intends to use the funds to create its tools for personal savings.
Led by Ethan Bloch, CEO, Digit is an automated savings tool with a SMS-based UI that uses an intelligent algorithm to identify small amounts of money that can be moved into a Digit account based on spending and income. It connects to a user’s checking account and its intelligent algorithm identifies income and spending patterns to set aside small amounts of money. The amount of money set aside by the service averages between $2-18, and is pulled at times of the month when users won’t miss it. The money is moved into an FDIC-insured Digit account and can be transferred back into checking at any time, with no transfer fees.
The company supports over 2,500 banks and credit unions and all Digit accounts are FDIC insured.