STACK Acquired by Credit Sesame

Toronto-based challenger bank STACK has been acquired by San Francisco’s Credit Sesame.

The two companies began a partnership in late 2019, marrying Credit Sesame’s deep credit expertise and STACK’s innovative digital banking services to create Sesame Cash, a new kind of no-fee digital banking service that helps consumers grow their cash and credit together in one place.

Credit Sesame began rolling out Sesame Cash to a limited number of existing customers in March and, after two months of a successful pilot, opened up general availability in mid-May.

More than 200,000 customers have signed up for Sesame Cash in less than a month, and the demand continues to surge with thousands of new accounts per day, putting Credit Sesame among the fastest growing digital banking service providers in the U.S.

“Together with STACK, we are combining the power of smart banking and AI-driven credit management to create a new kind of personal finance,” said Adrian Nazari, CEO and founder, Credit Sesame.

“How much cash you have, and how and when you use your cash, have a big impact on your credit. Adding cash management to our credit platform was a natural next step to better help consumers manage their overall financial health, and it creates a unique benefit for our consumers and financial partners.”

Later this year, Credit Sesame’s credit services will be integrated with STACK’s digital banking offering to bring cash and credit management to Canadian consumers and is positioned to lead the market in Canada. 

All STACK employees have been seamlessly integrated into Credit Sesame, including former CEO Miro Pavletic (now General Manager, Canadian & International Business), former COO Nicolas Dinh (now General Manager, Digital Banking Business), and former CPO Ranjit Sarai (now Vice President, Digital Banking Products). 

Canada-based employees will continue to work out of the existing STACK offices in Toronto.