Credit card challenger startup Yonder has raised £23.4m as it looks to expand its rewards offering for young users.

Coming off the back of its £12.5m Series A last year, which also saw it secure £50m in debt financing, Yonder hopes the new investment can help it become the go-to rewards card for Millennials and Gen Z.

The fintech has earmarked the new investment to expand its travel benefits and city exploration offering and make additional hires.

According to company co-founder and CEO Tim Chong, more than a fifth of spending from Yonder members is on travel.

Looking to capitalise on its users’ travel spending, Yonder is launching Flights and Stays, which allow customers to spend points on plane tickets and hotel rooms.

“Whether you’re meeting friends for dinner in the city, or planning a weekend getaway in Europe, our vision is for Yonder to be the end-to-end ecosystem that can find travel options, give hotel recommendations and book restaurant tables for you – all done and redeemable from your app,” said Chong.

“Securing this funding in the current climate is an incredible achievement for us and signals an exciting time in our journey.

We’re delighted to be backed by some brilliant investors who have once again seen and believed in our vision.”

The funding round came from VC firm Repeat, formerly Jigsaw, along with Lattiude, the sister fund of LocalGlobe.

“Over the years we have backed a number of billion+ fintech companies at their early stages of growth where the differentiation was driven largely by frictionless UX and better service delivery of traditional products,” said Dan Jones, founder and managing partner at Repeat.

“Yonder builds on this with a new category of credit card offering specifically for the Millennial & Gen Z community – a huge segment of the market largely ignored by existing products.”

Yonder said the latest funding raise has given the company a post-money valuation of over £100m.