Accrue Savings raises $25m to offer consumers “a responsible purchasing option”
New York-based fintech Accrue Savings has raised $25 million in a Series A funding round led by Tiger Global.
Aglaé Ventures, the tech investment firm backed by Groupe Arnault, Maple VC, also participated, as well as UPS CEO Carol Tomé and Fanatics CEO Michael Rubin.
Among returning investors were Twelve Below, Box Group, Red Sea Ventures, Ground Up Ventures, Good Friends, and Silas Capital Ventures.
Launched in November 2021, the company provides “a merchant-embedded shopping experience that rewards consumers for saving”.
It explains: “Accrue Savings empowers consumers to save for a purchase while earning cash incentive rewards from the brand along the way.
“Brands can finally reward customers who choose saving over debt by making FDIC-insured cash contributions to a customer’s Accrue Savings account when customers meet milestones on their savings journey.”
Banking services are provided by Blue Ridge Bank.
Founder and CEO Michael Hershfield says the response from retailers and consumers since launch has surpassed expectations.
Among the start-up’s retail partners are Smile Direct Club, Poly & Bark, Casper, Camp, and Eterneva.
“Accrue Savings helps brands reach more customers and gives consumers a responsible purchasing option. It’s a win-win,” comments Alex Cook, partner at Tiger Global.
The new financing brings Accrue Savings’ total funding to nearly $30 million to date and will be used to expand retail partnerships and bolster hiring efforts across all departments, including engineering, sales and marketing.