Open banking platform Bud has secured $20m in its Series A round of funding.
Capital for the round was supplied by HSBC, Goldman Sachs, Banco Sabadell, ANZ and Investec, as well as 9Yards Capital and, former Man Group CEO Stanley Fink.
The company is an open banking API which helps banks to build and implement digital products which increase functionality of apps by letting customers link it with their bank accounts. Its services can also help banks to improve customer engagement through personalised insights and notifications and make use of enriched bank data to enhance customer journeys.
Ongoing and real-time company due diligence is conducted by the company, which ensures everything is regulated and controlled.
Bud recently moved to a new office in London and has 85 service providers ready to make their offerings available on the Bud app. These service providers span across 15 categories ranging from credit cards, to insurance to rewards.
Currently, the company has a team of 70 but is looking to double this by the end of the year.
The London-based startup previously raised £1.5m back in 2017 through a funding round co-led by Investec and banco Sabadell. Â
Last week, the UK’s Open Banking Implementation Entity released its operational guidelines and checklist for open banking. These guidelines will deliver clarity and recommendations to financial institutions (ASPSPs) on regulatory requirements for a dedicated interface, as set out in PSD2, RTS, EBA Guidelines and FCA Approach documents.
Earlier in the year, a study from Pepper, the mobile banking division of Israeli bank, Bank Leumi, found that 58 per cent of retail banks feel that PSD2-led open banking has had a ‘negative impact’ on their organisation.
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