A Mobile Wallet For The Underbanked

Wipit, a company offering digital wallet services for the underbanked, just received a new funding round.

A Mobile Wallet For The Underbanked

Banks and private startups are all pushing digital wallets–smartphone software packages that allow users to connect their bank accounts or credit cards to their phone, and then make payments through NFC, mobile money transfers, or other technology. But what about the millions of American phone owners who use pay-as-you-go mobile phones and either don’t or can’t use bank accounts? They’re a much larger market segment than many in Silicon Valley think–and a digital wallet startup targeting that demographic just got a new funding round.

Wipit, which offers mobile banking services through Boost Mobile, just received a new round of Series A funding from VCs Core Innovation, who join current investors H&R Block and Euronet Worldwide. The amount of funding was not disclosed, but Core managing partner Arjan Schutte will join Wipit’s board.

Using an Android app, Wipit customers can deposit checks, make payments, pay bills, and send remittances worldwide through their phone. All those services are tied to a conventional prepaid account with Wipit; the company offers a plastic debit card as well. Profits are generated via transaction fees on the user end.

[Image: Flickr user Teegardin]