Following the announcement, ID Finance will use the funds to further improve the development process of the financial wellness application Plazo in Spain, as well as its launch in Mexico.
The investment required approval by the Spanish Government because of the strategic nature of ID Finance, and was officially endorsed by a leading Spanish Council of Ministers after the company received a favourable review from the External Investment Board. It includes both a primary capital infusion, as well as a buyout of shares from the organization’s early investors.
Furthermore, the capital injection is also structured as a convertible loan that has a maximum valuation of EUR 234 million.
ID Finance’s Plazo product and its services
ID Finance currently has multiple users and customers across Spain and Mexico, and its aim is to provide them with a suite of products and services that focus on their development and security in the industry, as well as the delivery of retail banking and finance tools. The solutions use advanced analytics and machine learning algorithms to provide access to financial services within the financial wellness application Plazo.
The Plazo application can be used easily by customers by downloading it to their devices. Their virtual card will be instantly activated. Clients can benefit from some features, like the possibility to top to their account by card, by transfer, or with Bizum. Following the process, users can start saving since the Term purchases have a cashback feature, regardless of whether customers use physical or virtual cards.
The cashback and promotions are designed for each client, as the refunds from purchases come from their preferred and most used brands. While paying with Term, Plazo offers users the capability to save up to 40% on a variety of well-known companies and businesses that are included in the list of partners.
The application provides clients with alleged zero expenses since the payments are made with no maintenance costs. The transfers are completely controlled, and customers can also manage and keep an eye on their expenses and their overall balance within the app.
By using Plazo, users can leverage its services to improve their Linkedin profile as well, in order to search and connect to more job opportunities that are suitable for their needs and set of skills.
Moreover, Plazo was designed to focus on the experience and safety of clients, providing them with support services (via chat, telephone, and email) while prioritising the privacy of their information through secure shopping, a one-click lock feature, and biometric access.