Founded just four months ago, the Paris-based fintech startup PIXPAY has raised €3.1 million in a round led by Global Founders Capital. With the funding, PIXPAY intends to reinvent the way teenagers manage their budgets and spend their money in an economy where cash is disappearing, and build a European banking solution specifically for 10 to 18-year-olds.
Traditional banks don’t serve the needs of minors, often offering little more than an ATM card. Therefore, many adolescents are still dependent on their families to give them cash to spend, but this isn’t practical for online purchases, and for parents, cash has some downsides, such as the risk of loss or theft.
To solve this problem, three parents, Benoit Grassin, Nicolas Klein (co-founders of the startup MonDocteur, which was sold to Doctolib in July 2018) and Caroline Ménager, decided to create PIXPAY. Their mission is to digitise spending for teens and parents, and with 30 million teenagers in Europe today, there’s a large potential market.
PIXPAY’s solution includes a mobile bank account, a single payment card, mobile payment options with Apple Pay or Google Pay, and an app that tracks spending and helps teens save and manage their money. The app features real-time notifications for every purchase, a graphic spending analysis, options for reimbursement, and exclusive offers with teens’ favourite brands.
Through the app, parents will also be able to set controls and limits on spending (for instance, banning purchases on online gambling), and set “missions” for children, for example, offering them €10 in exchange for cleaning the kitchen.
PIXPAY plans to launch its solution in France by the beginning of the next school year, at a rate of just €2.99/month.
By the way: If you’re interested to join a fast-growing startup like PIXPAY, make sure to check out the EU-Startups Job Board.