Debx

Debx was a financial technology company founded in 2016 by Ben Psillas, Purvesh Patel, Chad Crutchfield, and Timothy Klanke, with its headquarters in Bethesda, Maryland. The venture was established to offer a mobile application that merged the advantages of credit cards with the financial control of debit cards. Psillas, a serial fintech entrepreneur, created Debx out of his own frustration when using debit and credit cards, noticing he was missing out on rewards and credit-building opportunities with debit transactions.

The company's core product was a free personal finance app available on iOS that targeted college students, recent graduates, and other consumers who preferred the discipline of using a debit card. The application functioned by linking a user's existing credit cards to their checking account. When a purchase was made with the credit card, the app would automatically pay off the transaction from the linked debit account. This process allowed users to build a credit history and earn credit card rewards, points, and buyer protections without the risk of accumulating high-interest debt. The app featured customizable controls, such as an 'Auto-Pay' option for purchases under a specific amount and a 'Shutoff Balance' feature that would pause auto-payments if the user's checking account balance fell below a pre-set limit. Debx was compatible with most major US credit card lenders.

The business operated in the competitive fintech market, aiming to solve the challenge many young adults face: needing to build credit history for future life events like renting an apartment or getting a car loan, while being wary of credit card debt. The app was offered for free and generated its value by helping users manage their finances more responsibly. After raising $1.05 million in a seed funding round from investor Bilgola Capital in August 2017, the company was acquired by its New York-based competitor, Debitize, in September 2018 for an undisclosed amount. Following the acquisition, Debx was classified as a deadpooled or merged company.

Keywords: personal finance app, credit card management, automated payments, build credit, credit card rewards, fintech, debit card discipline, financial management tool, debt avoidance, spend management, student finance, mobile payments, Ben Psillas, Debitize, Bilgola Capital, credit utilization, iOS app, checking account link, financial wellness, responsible credit