Koho (fintech)

Last updated
KOHO Financial Inc.
Company type Private
Industry Financial services
Founded2014;10 years ago (2014) in Vancouver, British Columbia
FoundersDaniel Eberhard,
Mike Benna,
Jonathan Bixby,
Joshua Bixby
Headquarters Toronto, Ontario
Website www.koho.ca

KOHO Financial Inc. (styled as KOHO) is a Canadian fintech company based in Toronto. [1] While it is not a bank, the company provides banking services via KOHO Financial Inc. pursuant to a license by Mastercard International Incorporated.

Contents

History

KOHO was founded in 2014 in Vancouver. [2] [3] In 2015, the project was launched, offering its services through their mobile app in beta. [4] The service's launch was announced for 2016 but was pushed back to 2017. [5] The company partnered with Peoples Trust and Mastercard for its banking services [6] with the company providing all of the APIs and User Interfaces[ clarification needed ]. [7]

Originally, funds deposited into a KOHO card were not insured by the Canada Deposit Insurance Corporation (CDIC), and would be returned to account holders by Peoples Trust in the event KOHO fails. [8] [9] (As of 2024, KOHO accounts are CDIC insured up to $100,000 per account.) [10]

Later in 2017, KOHO moved its headquarters to Toronto, after again receiving investment from Portag3 Ventures. [11] [12]

In 2019, KOHO was able to secure $25 million in second-round funding after successful growth and accumulating 120,000 accounts in Canada. [13] In 2020, amid the COVID-19 pandemic, KOHO partnered with the CRA to allow their users to receive their emergency funds directly into their KOHO accounts. [14]

On August 19, 2020, KOHO partnered with Manzil to launch the very first Halal Prepaid Mastercard program in Canada. [15] [16]

In 2024, KOHO paired with Canada Post to allow its customers to make cash deposits into their KOHO accounts via the post office. [17] [18] A few months later, in November of 2024, Canada Post confirmed that it had partnered with KOHO to bring back postal banking, by offering chequing and savings accounts. [17] [18] Initially Canada Post employees will be given early access to test the functionality of the accounts offered; with Canada-wide public access planned for 2025. [18] [17]

Awards and distinctions

See also

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References

  1. "Koho continues to attack traditional banking features with new joint accounts | BetaKit". February 6, 2019.
  2. Mckenzie, Kevin Hinton & Ryan. "Matrix: Vancouver's money makeover".
  3. "Koho Set to Disrupt Canada's Big Five Banks". Techvibes.
  4. "Koho wants to create a Canadian bank built for millennials | BetaKit". December 3, 2014.
  5. "New mobile bank Koho set to join Canada's fintech crowd" via The Globe and Mail.
  6. "KOHO is a Free Alternative to a Chequing Account for Canadians". www.koho.ca. Retrieved 2023-11-22.
  7. "Koho, a mobile-only suite of financial services for millennials, launches in Canada".
  8. "Is KOHO CDIC Insured?". Koho Help Centre. Retrieved 24 November 2020.
  9. "Cardholder Agreement". Koho Legal. Retrieved 24 November 2020. Funds loaded onto the Card are not insured by the Canada Deposit Insurance Corporation (CDIC).
  10. "Are Canadian Bank Accounts Insured? - CDIC Insurance | KOHO". www.koho.ca. Retrieved 2024-12-28.
  11. "Vancouver-based Koho hiring Toronto team, including VP of Finance and COO".
  12. "Koho raises $8 million from Portag3 as Paul Desmarais III and Mike Katchen join board".
  13. "Canadian Neobank Koho's Series B Funding Round Secures Additional $25 Million". Crowdfund Insider. December 3, 2019.
  14. "How to get early access to your CERB benefits?". help.koho.ca.
  15. "Manzil partners with Koho to launch halal prepaid Mastercard card | BetaKit". 2020-08-19. Retrieved 2020-12-01.
  16. "Manzil Partners With KOHO to Launch Halal Prepaid Visa Cards This launch is the first of its kind in Canada and will give faith based users a unique opportunity to spend and save money". financialpost. Retrieved 2020-12-01.
  17. 1 2 3 Press, Ian Bickis and Rosa Saba The Canadian (2024-11-08). "Canada Post to launch chequing and savings account with Koho". thecanadianpressnews.ca. Retrieved 2024-12-28.
  18. 1 2 3 "Canada Post Launching Bank Accounts with No Fees: Here are the Details • iPhone in Canada Blog". www.iphoneincanada.ca. 2024-11-11. Retrieved 2024-12-28.
  19. "Vancouver's Koho wins Nasdaq FinTech Innovation Award at NY TechDay".