Personal Finance Site Wesabe Closes Down


Credit: Corbis

Personal finance site Wesabe is shutting down, after months of operating on a “shoestring budget.” In a blog post, CEO Marc Hedlund says that financial constraints meant the company could no longer provide an acceptable level of security for the personal finance information that users were uploading (via TechCrunch). It is taking down all of its personal finance tools, although it is keeping up its discussion boards. Wesabe’s shutdown is the latest change in the online personal finance space, which has seen quite a lot of shakeup over the last year.

Forbes put its financial education site Investopedia up for sale last month and IAC (NSDQ: IACI) and Dow Jones shut down their personal finance JV FiLife in late April.

Meanwhile, several new personal finance sites have emerged, and are trying to replicate the success of Mint, which was sold to Intuit for $170 million last fall. Those include the Steve Case-backed HelloWallet, which raised $3.6 million in June, LearnVest, which recently raised $4.5 million, and Bundle, which Microsoft (NSDQ: MSFT) and Citigroup have reportedly backed with $5 million.

Wesabe had raised $4 million in a first round of funding led by Union Square Investors three years ago, which we wrote about here.

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