New financial planning start-up Fruitful raises $33m in funding

New York-based financial wellness platform Fruitful has emerged from stealth and raised $33 million in seed and Series A funding.

Fruitful emerges from stealth

The rounds were led by Emigrant Bank and 8VC, with participation from Lux Capital, Founders Fund, along with a number of angel investors.

With plans to launch its app in fall this year, Fruitful claims its platform will provide “radically customer-aligned banking with expert financial guidance, 24/7 customer service and powerful personal finance tools”.

Fruitful says it will offer these services for a “transparent and affordable” subscription fee instead of hidden fees and selling products on commission.

“A startling reality is that 36% of Americans don’t have enough in their bank account to handle an emergency expense of $400,” says Josh McManus, CEO and co-founder of Fruitful. “That has to change, and a more transparent, educational, consumer-focused approach to personal finance is one step in making it happen.”

He adds that Fruitful “is committed to using technology to help people access a more secure financial future – and have a material impact on more than just the economy”.