Savings app Chip has completed its series A funding round on Crowdcube, attracting a record-breaking 7,036 investors and raising more than £4 million.

Chip uses an AI-powered algorithm which continuously calculates how much a user can afford to save, and then automatically transfers that money, every few days, into a savings account.

"We believe we're building the best savings account – one which makes stashing away money as easy as spending it," said founder and CEO Simon Rabin.

The app claims to have already grown to 75,000 accounts and processed £58 million of savings since it raised £1.1 million through Crowdcube last year.

In the next four years, Chip hopes to reach millions of users across the UK.

The funds will be used to launch new products including ChipX, a community lending service which aims to disrupt the UK’s high-cost credit market, in early 2019.

Rabin said: "This record-breaking funding round will allow us to accelerate this, on-boarding millions more users and launching new innovative features.

"We're hugely excited to welcome so many new investors into the Chip family."

Alex Latham, chief marketing officer, added: "We are becoming the challenger bank for savings and the enthusiasm of our savers to invest in the company is a fantastic endorsement."