Dave (also known as Dave.com
) is a
digital banking service
Retail banking, also known as consumer banking or personal banking, is the provision of services by a bank to the general public, rather than to companies, corporations or other banks, which are often described as wholesale banking. Banking serv ...
that works off of tips and subscription fees rather than overdraft fees.
Services
Dave is most well known for offering customers a free cash advance as opposed to expensive overdraft fees found at legacy banks. The company does not charge interest, or origination or similar fees, instead charging for expedited service, and a monthly fee to use the service, and giving the option to "tip" the company.
, of the
National Consumer Law Center
The National Consumer Law Center (NCLC) is an American nonprofit organization headquartered in Boston, Massachusetts, specializing in consumer issues on behalf of low-income people. Legal services, government and private attorneys, as well as co ...
, expressed concern that some users may feel compelled to tip resulting in it being not too different from paying interest.
Dave has also launched a banking service, Dave Banking. It was released in 2019.
It is available through a partnership with
Evolve Bank & Trust.
It also has a service for finding side-work called SideHustle.
History
''
Shark Tank'' star
Mark Cuban
Mark Cuban (born July 31, 1958) is an American billionaire entrepreneur, television personality, and media proprietor whose net worth is an estimated $4.8 billion, according to ''Forbes'', and ranked No. 177 on the 2020 ''Forbes'' 400 list ...
led a $3 million seed investment round in the company, saying he was crushed by overdraft fees in his twenties. The CEO of Dave,
Jason Wilk
Jason Wilk is an American entrepreneur and the founder and CEO of Dave, a publicly traded financial services company on NASDAQ. He grew up in Los Angeles, California. Wilk created several small businesses before selling a video advertising networ ...
, was the former creator of
AllScreen, a company which was also originally funded by Cuban who put in a $300,000 investment. After the initial investment in Dave by Cuban and other investors, the total funding of the app has increased to $180 million, after the $50 million investment by
Norwest Venture Capital.
The Dave app was the Apple App of the Day in April 2017.
It has been downloaded 10 million times on iOS,
and over a million times on Android devices.
In July 2019, the company was named one of the next billion dollar startups by ''
Forbes
''Forbes'' () is an American business magazine owned by Integrated Whale Media Investments and the Forbes family. Published eight times a year, it features articles on finance, industry, investing, and marketing topics. ''Forbes'' also re ...
''.
In October 2019, Dave received a valuation of US$1 billion, and had over 4 million users.
Dave was ranked number five in ''Inc. Magazine'' list of 5,000 fastest growing companies for 2021.
Dave went public on
NASDAQ
The Nasdaq Stock Market () (National Association of Securities Dealers Automated Quotations Stock Market) is an American stock exchange based in New York City. It is the most active stock trading venue in the US by volume, and ranked second ...
via
SPAC on Jan 6 2022 through VPC Impact Acquisition Holdings III created by longtime Dave investor
Victory Park Capital
The term victory (from Latin ''victoria'') originally applied to warfare, and denotes success achieved in personal combat, after military operations in general or, by extension, in any competition. Success in a military campaign constitutes ...
.
References
External links
*
Online banks
Earned Wage Access
Companies based in Los Angeles
2016 establishments in California
Banks based in California
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