While banks remain some of the least loved brands in America according to the Millennial Disruption Index, a survey of brand popularity among 15-34 years olds, the door remains wide open for disruptive startups to take over the services that banks used to call their own.
Since the beginning of 2014, an estimated 12 billion dollars has been invested in fintech companies, and as an infographic previously published on Hot Topics shows, the USA is leaps and bounds ahead of the rest of the world in terms of fintech startup investment.
Not surprising then that American companies make up 6 out of the 10 highest fund raisers of 2015 so far.
Affirm is leading fintech startup investment for 2015 so far with over $275 million in investment.
Affirm allows users to pay their online purchases back in installments at a better rate of interest than is offered by most banks.
This model has obvious appeal for online retailers as customers are shown to be much more likely to purchase more goods online if there is a finance option available.
Saas (software as a service) has seen high investment in recent years as companies move away from traditional hardware services and prefer to have their computing done in the cloud.
AvidXchange is a market leader in Saas and it closed a $225 million round in September led by Bain Capital investors.
Two European companies made the top 10 as Funding Circle, the British peer-to-peer lending service, and Kreditech, the German credit scorer in the mold of Kredit Karma racked up $260 million.
China also has a hefty presence on the list with 2 businesses: Shanghai DianRong Financial Services and Hangzhou Science and Technology claiming $337 million since the start of 2015.
To learn more about fintech startup investment since the start of 2015, check out the above infographic.