Happy Money, a California-based firm working to help borrowers become savers, has raised $70 million in a Series D funding round led by Cuna Mutual Group's CMFG Ventures.
Happy Money promises to help users break up with their credit cards, which it calls "sad money" that keeps people on a treadmill of debt and minimum monthly payments.
The firm connects users with credit unions and other "ethos-aligned" lenders" through a marketplace where they can get a loan to pay off their high-interest credit card debt.
Meanwhile, online tools help users evaluate their “happy” and “sad” spending patterns, while a Happy Score measures financial wellbeing using cash flow, savings, behavioural and psychometric data.
Last summer, the company announced three strategic credit union alliances with Alliant, First Tech, and Technology CU. Already, the partnerships have seen more than $1 billion in aggregate debt elimination loans delivered.
Lending could now be ramped up thanks to a new partnership with Cuna Mutual’s national sales force, which has a product relationship with over 95% of all credit unions in the United States.
Scott Saunders, CEO, Happy Money, says: “We’re committed to helping our members build a happier relationship with their money through our Happy Money ecosystem, which connects lending, spending, and savings products. We’re excited to add CMFG Ventures to our list of strategic investors who believe in eliminating ‘Sad Money’ on a national scale.”