Savings chatbot app Plum gets $4.5m boost

Ben Heathcote

In App Deals. May 7, 2019

Plum, the artificial intelligence-powered personal money management chatbot, has secured an additional $4.5 million in funding. The round was led by venture firm VentureFriends and the EBRD, and brings total investment in the firm to $6.3 million.

Alongside the investment, Plum has also announced that it has achieved 433% user growth in one year, growing from 75,000 to over 400,000 users.

The fintech startup has now made its intelligent chatbot available as a free download on iOS and will be launching it on Android in the coming months.

Plum’s chatbot-based app is designed to foster better financial behaviour via a three-pillar strategy that incorporates savings, investments, and also spotting when users are wasting money on overpriced deals and underperforming financial products. Plum predicts that it will save users £100 million in 2019 and that the average person in the UK can be better off by over £2k simply by saving and optimising bills.

“We’re making an irreversible change in finance, putting consumers firmly back in charge of their own money,” said CEO and co-founder Victor Trokoudes. “While the traditional banking system remains geared towards keeping people in debt, Plum empowers users to easily stay on top of their finances – helping them spend less, save more, switch out of overpriced deals, and invest better than they have before.”

Plum will use the funding to increase its headcount in both its London and Athens offices, to focus on its multi-platform strategy and to expand into new markets.