MoneyMate is an alternative lender that facilitates more ethical loans

About MoneyMate

Millions of Americans and Canadians live paycheque-to-paycheque and don’t have the capacity to weather a $400 financial shortfall. For those who also have a poor credit score, access to financial services are very limited. In these situations, they have no other option but to resort to predatory lenders, which actually worsen their financial wellbeing.

MoneyMate is an alternative lender that facilitates more ethical loans that are better suited for the consumer. It’s a financial platform that provides access to a quick loan while simultaneously helping the borrower build a savings fund as they’re paying off the loan.

Location: Toronto

Year Founded: 2018

Vertical: Lending / Borrowing

Employees: 1 – 10

Website: moneymate.io

Social Media:

Problem

Over 50% of Americans and Canadians have less than $500 in Savings and don’t have the capacity to cover for a $400 emergency. Just to put that into perspective, that is over 150 million people in North America alone. To make matters worse, a big percentage of those consumers have the added unfortunate reality of owning a poor credit score, giving them only access to predatory financial services (i.e payday loans) that tend to worsen consumers’ already precarious financial situation. The biggest problem with payday loans is their business model – the one-lump-sum required to pay the loan off in full, encircles the consumer into a debt-trap that is very difficult to escape.

  • Startup Pre-revenue 0% 0%
  • Startup Post-revenue $1 – $2M 100% 100%
  • Scaleup $2M – $10M 0% 0%
  • Scaleup $10M+ 0% 0%

Core Benefits

MoneyMate is a financial platform that provides small loans to people who need quick access to credit while simultaneously helping the borrower build a savings cushion as they’re paying off their loan.

The way it works is simple – when a customer takes out a MoneyMate loan, a portion of their repayments is allocated to their own separate savings fund that they’re able to access after paying off their loan, so by the end of the term, they would have some savings built up on the side which they could use for whatever their need.

Ideal Customers

Consumers (B2C) 

Milestones

Launched beta and grew customer base to 3000, while generating $60k in interest income.

Problem

Over 50% of Americans and Canadians have less than $500 in Savings and don’t have the capacity to cover for a $400 emergency. Just to put that into perspective, that is over 150 million people in North America alone. To make matters worse, a big percentage of those consumers have the added unfortunate reality of owning a poor credit score, giving them only access to predatory financial services (i.e payday loans) that tend to worsen consumers’ already precarious financial situation. The biggest problem with payday loans is their business model – the one-lump-sum required to pay the loan off in full, encircles the consumer into a debt-trap that is very difficult to escape.

Core Benefits

MoneyMate is a financial platform that provides small loans to people who need quick access to credit while simultaneously helping the borrower build a savings cushion as they’re paying off their loan.

The way it works is simple – when a customer takes out a MoneyMate loan, a portion of their repayments is allocated to their own separate savings fund that they’re able to access after paying off their loan, so by the end of the term, they would have some savings built up on the side which they could use for whatever their need.

Ideal Customers

Consumers (B2C) 

Milestones

Launched beta and grew customer base to 3000, while generating $60k in interest income.

  • Startup Pre-revenue 0% 0%
  • Startup Post-revenue $1 – $2M 100% 100%
  • Scaleup $2M – $10M 0% 0%
  • Scaleup $10M+ 0% 0%

UPDATE: FFCON20 RESCHEDULED TO JULY 8-9 DUE TO CORONAVIRUS