Credit Sesame has completed the acquisition of Canadian challenger bank STACK, with the company using this as the start of its international expansion plans.
The two companies initially worked together in late 2019 to launch Sesame Cash, a no-fee digital banking service which helps users grow their cash and credit from a single solution.
Sesame Cash was offered to a limited number of existing customers in March and following a successful pilot, was released to everyone in mid-May. It now has more than 200,000 customers signed up.
This acquisition is the first step in Credit Sesame’s international expansion goals. Later in the year, the company hopes to integrate STACK’s digital baking services with its own to bring cash and credit management offerings to Canadians.
In line with the deal, all STACK employees have been onboarded into Credit Sesame. STACKs CEO Miro Pavletic is now the general manager of Digital Banking Business and the CPO Ranjit Sarai is now vice president of Digital Banking Products
The whole team will continue to operate from the Canadian office.
Credit Sesame CEO and founder Adrian Nazari said, “Together with STACK, we are combining the power of smart banking and AI-driven credit management to create a new kind of personal finance.
“How much cash you have, and how and when you use your cash, have a big impact on your credit. Adding cash management to our credit platform was a natural next step to better help consumers manage their overall financial health, and it creates a unique benefit for our consumers and financial partners.”
The Sesame Cash solution helps consumers to access credit-centric benefits including free daily credit score refreshes, cash rewards for improving credit and $1m in credit and identity protection.
It also offers early payday, real-time transaction notifications, direct deposit, virtual card integrations and more.
Over the coming months, Credit Sesame is adding several new features to its platform to further help customers manage and grow their cash and credit.
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