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MAJORITY, MIGRANT NEOBANK LEADER, ANNOUNCES $27M SERIES A TO FURTHER SERVE GROWING MIGRANT AUDIENCE IN THE US

The mobile banking membership announces follow up on Series A 6 months after Seed round and rolls out new offering for migrants with no SSN

MAJORITY, MIGRANT NEOBANK LEADER, ANNOUNCES $27M SERIES A TO FURTHER SERVE GROWING MIGRANT AUDIENCE IN THE US

Houston, TX (December 7, 2021)—MAJORITY, a leader in mobile banking for migrants in the U.S., today announced its $27M Series A funding as well as an important product update. Starting today, MAJORITY will be rolling out its banking membership services to migrants in the U.S. who lack Social Security Numbers (SSNs) and therefore have even more limited access to financial services. Insider Valar Ventures led the Series A round only six months after leading the company’s $19M Seed financing, bringing the company’s total funding to $46M. Other insiders participated in the round, including Avid Ventures, Heartcore Capital and a group of prominent Nordic fintech unicorn founders. The new funds will be used to open a new U.S. headquarters in Miami, rapidly growing the team across the U.S. and Sweden, and develop the all-in-one product.

MAJORITY was founded in 2019 as the first mobile banking service built for migrants. In June 2021, the company scaled its operations to serve migrants throughout the United States, following an initial focus on the Nigerian and Cuban communities in Texas and Florida, respectively. MAJORITY’s product is a bundled $5 per month subscription that includes an FDIC-insured account featuring early direct deposit and zero overdraft fees, a Visa® debit card with cashback and community discounts, no-fee remittances, at-cost international calling and the ability to send mobile credits to loved ones back home. Recognizing that a one-size-fits all approach cannot be applied to the 180+ unique migrant communities, MAJORITY has tailored its offering to each specific community and has hired local advisors to onboard and support each community in its native language. In addition, members can access additional high-touch assistance and foster their sense of belonging through the company’s local meet-up spaces, events, and library of community-driven informational resources.

MAJORITY’s offering provides its members with financial savings well in excess of its $5 monthly membership fee. Thus far in 2021, the company has saved its Cuban members an average of $21 per month and Nigerian members an average of nearly $10 per member per month through its bundled product with transparent, lower fees for remittances, calling, mobile credits and local discounts. On the back of this value proposition, the company has grown its subscriber user base 10X over the last year and is now growing its revenue with an average of twenty-percent month-over-month.  

Following this fundraise, MAJORITY has begun opening its services to migrants who lack SSNs, which will accelerate the company’s mission of supporting migrants in America with tailored resources that meet their unique needs and ease the burden of transitioning to a new country. While many banks in the U.S. do not require an SSN to register or open an account, in the absence of an SSN they require an Individual Taxpayer Identification Number (ITIN), green card, visa, passport or type of U.S. government-issued ID as well as an in-person appointment. MAJORITY can offer members without a Social Security Number the ability to register and start a membership completely virtually, requiring only an international government-issued ID from any country along with proof of a U.S. address (e.g. a utility bill), which creates the possibility for millions of migrants in America to access critical and often life-changing financial services. Today, MAJORITY will begin rolling out the update to small communities across the country and will continue expanding its availability throughout the following months.

“A bank account is the starting point to so many other things for someone moving to a new country, and American bureaucratic delays and backup shouldn't prevent people from being able to establish themselves here,” said Magnus Larsson, Founder and CEO at MAJORITY. “Our mission, as a migrant-led company, has always been to serve the migrant communities with the unique resources they need—financial and otherwise—and this latest funding will help us continue to perfect our services and support this community that is the backbone of America.” 

“MAJORITY is leading the way for services in the migrant tech category, showing steady growth as they’ve continued to innovate and increase the variety and quality of resources for this underserved community,” said James Fitzgerald, Founding Partner at Valar Ventures. “Requiring only a government ID and proof of U.S. residence to register for a banking membership is the latest innovation underscoring how MAJORITY understands the unique needs of this community and works to create the tools to serve them.” 

“Traditional financial institutions continue to make it difficult or impossible for the nearly 50 million immigrants in the U.S. and 300+ million globally to have access to critical services for basic living,” said Addie Lerner, Founder and Managing Partner at Avid Ventures. “MAJORITY continues to pioneer new and improved ways to meet the needs of this community while creating pivotal change in the banking industry.” 

In further efforts to support migrants in America by creating uniquely tailored resources, MAJORITY will release an updated version of its popular Migrant Handbook, a complete index of tips and information for migrants trying to navigate U.S. society. The latest Handbook includes everything from getting a visa and an SSN to writing a cover letter, renting an apartment and enrolling kids in school. The updated version will be available for members later this month via MAJORITY’s website and app with downloadable PDF versions.

For more information, please visit https://www.majority.com/

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ABOUT MAJORITY 

MAJORITY is the first mobile banking service dedicated to serving the most ambitious people in the world, migrants. For $5 a month, MAJORITY members in the U.S. receive an FDIC insured account, Visa® debit card, use of more than 55,000 ATMs across North America, remittance and international calling, in-person native language advisors, and access to our network of community meet-up spaces, local discounts, and events. With MAJORITY, there are never overdraft fees or minimum balance requirements. MAJORITY was started by a diverse team of banking, fintech, payments, and telecom executives serving migrant communities globally for the last 15 years. The Visa debit card is issued by Axiom Bank N.A. or Sutton Bank, Members FDIC, pursuant to a license from Visa U.S.A. Inc.