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PayPal backs pan-European savings deposit marketplace Raisin

PayPal backs pan-European savings deposit marketplace Raisin
From TechCrunch - December 19, 2017

Raisin, the savings deposit marketplace that lets you shop for a better interest rate across Europe, has picked up backing from PayPal. Described as a strategic investment, the new funding round remains undisclosed.

The Berlin-based company had previously raised a total of 60 million from various backers, including Thrive Capital, Ribbit Capital, and Index Ventures. Meanwhile, Im told the new investment will be used by Raisin to accelerate growth in its core European geographies.

I also wouldnt be surprised to see PayPal push Raisin to its users, as another channel for the startup to reach savers. Like other fintechs, half of Raisins battle is likely educating consumers that such a proposition exists. To that end, the company has already partnered with N26 to be listed in the challenger banks own app, and white labels its offering for others.

Originally founded in 2013, Raisin set out to crack open the savings deposit market in Europe by taking advantage of EU-wide banking regulation. The problem the startup solves is that saving deposit rates differ not only from one local bank offer to another but even more strikingly across Europe as a whole.

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