TomoCredit raises $7M to greatly help the cash high and credit bad
It is tough to get credit in the event that you donвЂ™t have credit.
ThatвЂ™s the nagging problem that startup TomoCredit is attempting to resolve. Co-founder and CEO Kristy Kim arrived up using the concept for the business after being refused numerous times for a car loan whilst in her very early 20s.
Kim, whom immigrated into the U.S. from Southern Korea along with her household as a young child, had been disappointed that her absence of a credit rating turned out to be such a barrier even though she had work вЂњand positive cash flow.вЂќ
Therefore she teamed up with Dmitry Kashlev, a Russian immigrant, in January of 2019 to generate an answer for any other foreign-born people and teenagers dealing with credit that is similar. That autumn, the startup (brief for TomorrowвЂ™s Credit) had been accepted in to the Barclays Accelerator, driven by Techstars.
The San fintech that is francisco-based a credit card directed at assisting first-time borrowers build credit score, predicated on their cashflow, as opposed to on the FICO or credit file ranks.
Today, Tomo announced a $7 million seed capital round that included participation from a slew of investors including KB Investment Inc. (KBIC) вЂ” a subsidiary of South Korean consumer bank, Kookmin Bank вЂ” along with Barclays, Knollwood Investment Advisory, BAM Ventures, Passport Capital, Ulu Ventures and intense Ventures.
Angel and specific investors also place cash into the round, including: Backstage Capital founder Arlan Hamilton, ex-Venmo COO Michael Vaughan and James Kim, previous mind of finance at Tinder.
A lot more than 30 million teenagers are considered вЂњcash richвЂќ but with limited credit records, making their option that is only to debit cards, based on the customer Financial Protection Bureau.
TomoCredit is a charge card that runs with a debit card model this is certainly released by Community Federal Savings Bank, a member for the FDIC.