Point raises $46.5 million to build out premium debit card

US challenger Point has raised $46.5 million in a Series B funding round to boost the development of its premium debit card.

Point has raised $59.2 million since 2018

Point offers a card membership programme that looks to provide the rewards and extras that often come with credit card ownership in the US.

Membership with Point costs $49 a year, and includes a rewards system which offers points multiplied by the type of payment.

Users who pay for subscriptions using their card get 5x the points, while food deliveries offer 3x the points.

Point has also signed partnership deals with some major brands to offer revolving “exclusive” cashback offers. Co-operating firms include Nike, Amazon, Starbucks and Whole Foods.

Other offers for Point users include phone insurance, new purchase insurance and travel cover. The firm also promises its users an ability to have instant payments into and out of the card.

Point uses Mastercard’s exchange rate for international transactions, which incur no fees.

Users don’t need to get their credit checked upon sign-up, after which they can get access to both a physical and virtual card.

Radius Bank, an FDIC-insured bank bought by fintech LendingClub for $185 million in February 2021, protects Point’s deposits.

The Series B is Point’s second funding round in as many years, having secured a $10.5 million Series A in July 2020.