Credit Sesame DebutCredit Builder Service
On Wednesday, November 17, the financial wellness platform Credit Sesame rolled out its new credit creation banking technology, an all-in-one bank account that gives consumers the power to create their credit by purchasing on their credit cards. debit and cash.
Credit Sesame’s Artificial Intelligence (AI) -supported Sesame Cash Account enables users to build and grow credit through daily purchases, including groceries and subscription services. More than 8,000 Credit Sesame customers have used credit creation technology since its beta launch, increasing their credit score by 35 points on average, according to a press release from the company.
“Coming from an immigrant family, I understand how difficult access and education to credit can be for those outside the system,” said Shazia Virji, General Manager of Credit Services at Credit Sesame, in the ad. “By creating the possibility of creating credit by debit, Credit Sesame increases the financial inclusion of marginalized groups by setting them on the path of creating credit and mastering their financial futures, which can open up new and better opportunities for individuals and their families. “
Sesame Cash users can allocate some or all of their funds to build their credit, which is then reported to the three credit bureaus to establish a line of credit. AI technology monitors and manages the user’s transactions with their Sesame Cash debit cards.
“Your income and money are important to your credit and credit, especially if you use debit for purchases, and we need a more inclusive and accessible credit system,” said Adrian Nazari, CEO of Credit Sesame , in the company’s announcement. “Now, with our credit creation technology, we are doing both. Credit Sesame makes it easy for consumers to add their money, including income and daily purchases, to their credit report and history with just a few clicks and get the credit they deserve.
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According to the Federal Reserve, about 22% of American adults are either unbanked or underbanked, and about seven million households do not have credit cards, debit cards or other financial instruments. About 33 million households have bank accounts, but no established credit history.
According to PYMNTS research, more than half of the American population falls into this demographic, from those with no credit history or bad credit history to those with six-figure incomes.
Nazari noted that 78% of Credit Sesame’s population lives on paychecks, has $ 500 in savings on hand, and faces at least two financial emergencies per year.