Summer, a student loan assistance startup, has acquired benefit platform Vault, in an all-cash transaction aimed to bolster Summer as a rising leader in student loan and education benefits.
Established in 2013, Vault serviced over 3,000 employers and 401(k) recordkeepers in student loan benefits and financial wellness. The company’s Vault 529, Vault Match, and Vault Tuition Reimbursement benefits helped plan sponsors offer and track college savings benefits to employees.
“We are excited to join Summer, the leading company in our category,” said Heather Lowe, Vault’s former Chief Operating Officer. “Summer’s technology platform immediately enhances our ability to tackle the major generational challenge of student debt and rising college costs for employees and their families across the country.”
In its acquisition, Summer will acquire several of Vault’s assets, intellectual property, and select client contracts. Following the move, Vault’s existing products will gradually phase out, while the company’s core team will join Summer.
By integrating Vault’s resources, Summer believes it is boosting its product suite for human resource (HR) professionals wanting to enhance their financial wellness solutions.
“We are thrilled to welcome Vault into the Summer family. This acquisition brings talent and expanded resources that will empower us to better serve our existing employer clients as well as grow to support many more,” said Will Sealy, founder and CEO of Summer. “Summer is committed to delivering unparalleled customer support and leveraging our deep student loan expertise to benefit Vault’s clients and end-users.”
Summer’s current offerings include Summer Save, a platform for student loan optimization and college savings, Summer Boost, which provides employer student loan contributions and tuition reimbursement, and Summer Secure, offering student loan retirement matching that is SECURE 2.0-compliant.
The recent acquisition follows several new developments for Summer, including a partnership this year with payroll provider ADP that introduces student loan retirement matching and additional student debt tools through Summer’s platform.