exSEED — Helping People Build Credit by Saving
Boston-based exSEED is developing a seamless, passive and zero-cost way to build credit by saving.
The Opportunity
Co-founders Seth Knoll & Stenli Duka came out of college with no credit history, making it incredibly difficult to build a financial foundation. They also saw first-hand, between friends and family, the struggles that immigrants face when trying to establish their lives when they come to the country with no credit history. According to exSEED, there are 121 million Americans who are credit challenged and face these difficulties, which include college graduates, immigrants, veterans and the unbanked. Roughly 68 million people have a credit score of 600 or below, while 53 million have no credit at all. The financial impact of a low credit score versus a high score is huge — $200,000 more spent on financial services over a lifetime. Also, four out of 10 Americans cannot cover a $400 emergency expense due to little or no savings.
What The Company Does
ExSEED tackles both the credit and savings problems in one seamless banking experience. Their debit card and credit-builder loan are combined to allow the user to passively make monthly credit-builder loan payments from transaction roundups to build payment history and improve their credit. A credit-builder loan holds the amount…
