Berlin-based Raisin, the European savings and investment marketplace, has announced its plans to enter the US, with a deposits market valued at $12.7 trillion. Raisin has appointed Paul Knodel, a financial industry veteran, as its US CEO to lead the expansion.
The typical American consumer earns just 0.01% interest on their savings, and, even though opportunities exist to earn up to 270 times more interest, there are many logistical hurdles to accessing them. Raisin addresses exactly this issue, making the range of offers transparent and accessible to consumers.
Raisin was founded in 2013 to provide savers in Europe access to higher-interest savings products from partner banks across the continent with its ‘deposits-as-a-service’ platform. Since then, the startup has brokered over €13 billion in savings for more than 175,000 customers in 31 European countries, with over 75 partner banks. Raisin has received numerous accolades; it was named among Europe’s top five fintechs by the FinTech50 awards, CB Insights’ global Fintech 250, and the FT’s 100 Digital Champions Europe.
Raisin is backed by more than $200 million in financing from investors including PayPal, Index Ventures, Thrive Capital, Ribbit Capital, Orange Digital Ventures, and more.
Paul Knodel has more than 20 years of experience in executive and senior management positions at Citigroup and Merrill Lynch as well as TD Ameritrade, E-Trade, and the robo-advisor Wealthfront. Knodel most recently led Wealthfront’s successful extension of its product suite into cash savings.
Raisin’s entrance into the US market is being supported by the German government’s US-based ‘German Accelerator’ program. It was selected as one of 12 top German startups that are looking to bring successful business models to the US market.