Nationwide Building Society is dipping into its £50 million venture fund to take a minority stake in UK-based personal financial management app Moneyhub.
Moneyhub is the third startup to benefit from the Nationwide fintech fund, which was launched in June with an investment in proptech startup acasa and followed by participation in a seed funding round for GDPR-compliant data sharing startup Hazy.
Tony Prestedge, deputy CEO at Nationwide Building Society, says: “Investing in start-ups like Moneyhub helps us identify, learn about and explore new capabilities and technologies that will help deliver our technology strategy both now and in the future.
Moneyhub recently secured Payment Initiation Services Provider (PISP) authorisation by the FCA, enabling users to initiate payments across accounts from a single site.
The firm already operates as an Account Information Services Provider (AISP), consolidating data from multiple accounts into one place so people can easily see and engage with all of their finances - from current accounts to credit cards, loans and pensions. The company also offers users a series of smart nudges that proactively alert consumers to overspending or better interest rate offers.
“While many people will have heard of Open Banking and AI technology they may not be able to tell you much about how they are starting to impact their day to day lives, but we believe they are game changers for the financial services industry," says Prestedge. "While we have years of experience in innovating and unlocking the benefits of new technology, we aren’t complacent. We know that by working together with start-ups we can learn from each other and ensure we are best placed to help our members get the most out of new technology in the future.”
Moneyhub, which is currently connected to Starling and Monzo and is in the process of linking to other bank APIs, additionally operates an API gateway for data sharing and product building with third party businesses.
The size of the investment was not disclosed.