Comun raises $4.5 million in seed funding for its Latino banking vision
The business plan is focused on providing banking services for Latinos.
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Comun, a Latino-founded digital bank that offers modern banking solutions for Hispanic families, recently announced $4.5 million after the close of a successful round of seed funding led by Costanoa Ventures, South Park Commons and FJ Labs.
Andrés Santos, co-founder and CEO of Comun, said:
We built Comun to make it easier to thrive as an immigrant family in the U.S.
A bank for Latino immigrants
Comun highlighted figures published by the U.S. Economic Forecasting and Research Center Report 2022, which found that Latinos are three times more likely to be without a bank and two times more likely to fall prey to predatory lending.
The report also said that currently 41% of Latinos do not have a credit rating, severely limiting their financial growth and mobility.
Comun, which plans to use the funds to build a financial center with expanded solutions and resources for Latino immigrants in the United States, also hopes to make them feel more confident in financial services. It plans to offer all aspects of the banking experience available in Spanish, removing one of the biggest obstacles for the Latino community in obtaining the financial services they need.
El equipo de Comun recaudó $4,5 millones USD para avanzar en su objetivo de promover la inclusión financiera a través de un enfoque latino en la banca moderna. Para ver cómo estamos brindando soluciones bancarias en español visita el enlace: https://t.co/aSI0anWfdl— Comun Banking (@comunbanking) February 14, 2023
The bank will also provide Latino immigrants with access to traditional services, including a checking account connected to a physical and virtual Visa debit card, direct deposits for payroll, and free ATM withdrawals and deposits. It will not require a social security number or additional and hidden fees.
“Banking is a gateway to accessing many services that are vital to a person’s livelihood. My co-founder and I both experienced how challenging it can be to navigate the banking system as immigrants. Our goal is to empower families to be successful in both their finances and the U.S. with a financial partner that they can trust and understand,” added Santos.
Get to know: Comun
Founded in 2021 by Abiel Gutiérrez and Andrés Santos, who faced financial exclusion when they immigrated to the United States, Comun's clients already move more than $100,000 a week, growing 20% weekly since its debut in September 2022.
In addition to providing easy-to-use tools and resources available through the Comun mobile app, clients also have access to educational content to help better manage their finances for long-term financial growth.
Comun is the only bank that offers customers a 100% experience and service in Spanish, 24/7 customer service, and the ability to register for an account with a foreign passport.
“There is a huge opportunity for financial products that better fit the needs of multi-generational, Latino families in the U.S. People want their bank to understand them, and Comun is building the best, most customer-oriented digital bank for a large and growing first and second generation Latinos,” said Mark Selcow, partner at Costanoa Ventures.