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LEHI — Financial tech company MX recently raised $100 million during its second funding round, bringing the Lehi-based business to a total of $175 million in funding.
That’s a lot of money, but if you’ve never heard of MX you’re not alone.
"We sort of disappear in a lot of ways," said Nate Gardner, MX’s chief customer officer. "Not disappear in function, but disappear in brand."
That’s because MX is more of a behind-the-scenes player. The 9-year-old tech company essentially collects, cleans, analyzes and presents data that allows financial institutions to give their customers a better idea of where their money is going and how they could improve their financial health.
MX was founded in 2010, inspired by the financial crisis of 2008, according to Gardner.
"Really, at the core of that beginning was a reflection of what had occurred … and sort of the culmination of poor financial advocacy in the financial industry and a lack of clarity and understanding," Gardner said. "We saw an opportunity to say, 'Hey, how can institutions understand? How can they be a better (financial) advocate?'"
Have you ever looked at a transaction on your card and wondered where that money was spent? Unless you’re a victim of fraud, probably not.
That’s because companies like MX help institutions like banks and credit unions track where you spend your money, then break it down so you can see how much you spend on certain categories, like entertainment or food. It can even help you remember "free trials" you signed up for then forgot about.
That’s a very base level of data that MX provides, but it can also be used for more complex functions like APIs or mobile banking apps. MX claims that banks, credit unions and financial tech companies experience upwards of four times the amount of growth in digital engagement, five times the increase in deposits growth rate, and a 30% increase in net promoter scores (a tool used to gauge the loyalty of an institution’s customer relationships) when built on MX’s platform.
But where do Utahns see MX in their everyday lives?
The America First Credit Union mobile banking app is actually built and powered by MX, and Utah Community Credit Union uses MX’s data through their online banking provider.
"You’ll be surprised to find there are at least 10 (institutions in Utah) that … we provide service to, either via a direct relationship or through a partner," Gardner said.
And with the completion of the funding round, MX announced that it had just signed its 2,000th customer.
"It really is about this notion of, how do we impact the end user in such a way that we start to chip away at a pretty massive issue?" Gardner said. "You’ve got 80% of the workforce in the U.S. living paycheck-to-paycheck. You have individuals that feel real pain associated with this kind of stress."
