These days, banks and fintech startups usually don’t offer products specifically for families, and this has proven to be something of a gap in the market. Meanwhile, the general lack of financial education and financial literacy means that families are missing out on financial prosperity for their families.
GoHenry (which raised $121.2 million), which bills itself as “smart banking for kids,” has tried to crack a slice of this market, but it’s aimed at kids, not families, so to speak. Meanwhile, others chew on Gen-Zs and parents, such as Greenlight (US), Spriggy (AUS), Ruuky (DE), Step (US), Current (US), Nosso (UK), Unest (US).
We have stepped into this battle Blinga startup founded by a 20-year-old, which offers a financing platform specifically aimed at families, designed so that parents can do the financial planning for their children, from pocket money to first investments.
It has now raised a €3.5 million seed funding round from Peak (based in Amsterdam); La Famiglia; angels like Lea-Sophie Cramer, Verena Pausder, Felix Haas (co-founder IDnow), Jakob Schreyer (co-founder Orderbird), former ING-Diba CEO Ben Tellings, World Cup winner Andre Schürrle, family ‘influencer’ Carmen Kroll, Angel Invest and Forecast Capital .
The startup says it is tackling the estimated €3.3 billion in pocket money spent each year in Germany just for children aged six to 13, along with the €35 billion spent in Germany alone on its home market (German census). ).
The Bling product has educational modules for parents, offers a child payment card, can cover allowances through chores, for example.
Founder Nils Feigenwinter started Bling when he was just 20 years old, and created it because, he says, during his high school years he was frustrated by seeing classmates already running up personal debt: “After 12 years of school, I looked back and realized: nice “I can now recognize the Pythagorean theorem and mountain stones, but I have no idea how to save or manage money responsibly,” he said in a statement.
With Bling, parents sign up, but no KYC is needed as it only works in an initial amount of less than €150. They create a family account, receive a card and create their child’s account. Children learn through modules, set up piggy banks, can earn money with groceries and chores and customize their cards.
Afterward, family members and the community join Bling through links, contributing to piggy banks and investment plans, managing household expenses, and preparing for critical financial events.
Bling claims it now has over 10,000 kids using a Bling card as their first in-person payment experience 6 months after launch as it eventually taps into grandparents, godparents and friends and uses network effects for growth.
The business model for Bling is direct subscription, transactions and fees of financial products, partnerships (cell phone first plans, insurance, etc.).
Prior to joining Bling, Feigenwinter founded three other companies in the youth segment, including Switzerland’s largest student magazine, family goods and licensing house, as well as a consultancy specializing in young adult topics, leading him to be described as the “fintech prodigy” . German media. He is joined by CTO and co-founder Leon Stephan.