Bloomberg Línea — Majority, a mobile banking startup for immigrants residing in the United States, has closed a $37.5 million Series B led by Valar Ventures. The financing comprises $30 million in equity from Valar and participating firm Heartcore Capital, as well as $7.5 million in debt from a US commercial bank.
The round comes just nine months after Majority’s Series A round, and brings the company’s total funding so far to $83.5 million.
“The new capital will help refine our services and better support underserved migrant communities,” said Magnus Larsson, founder and CEO of Majority.
The goal is to support the nearly 50 million immigrants in the United States, and it will also serve its operations in new offices in Texas and Florida, Larsson said.
This expansion of Majority’s services comes despite the current uncertainty in the financial technology market.
This year, the startup says it has quadrupled monthly transaction volume among its immigrant user base, while Majority’s revenue has increased fivefold over the past year.
Founded in 2019, Majority offers a range of immigrant-oriented services, including a bank account and debit card, community discounts, free international transfers, and discounted international calling for a fee of $5.99 per month.
Earlier this year it announced that users can sign up without a social security number or US documentation, needing only a government-issued international ID and some proof of US residency, to make Majority’s financial services even more accessible to immigrants across the country.
“Given the current financial situation in the country, we are excited to offer tailored resources that meet the specific needs of immigrants and ease the burden of transitioning to a new country,” Larsson said in a statement.
Majority is “pioneering a new and improved way for the banking industry to meet and support the needs of its users, all while advocating for an incredibly underserved community in the United States”, James Fitzgerald, founding partner of Valar Ventures, said.