Credit Sesame Makes its Industry-First Credit Builder Banking Service Available to the General Public for Free

AI-backed Sesame Cash optimizes spending to make consumers’ money and income work for them; beta customers improved their credit score by an average of 35 points and some by more than 120 points

Financial wellness platform Credit Sesame launched the general availability of its new credit builder banking technology, an all-in-one bank account that allows consumers to build their credit with their money and debit card purchases.¹ With the new AI-backed Sesame Cash account, consumers can easily establish credit and grow it by making everyday purchases, such as groceries or subscription services, ultimately helping to close the credit chasm and create broader financial inclusion for the 45 million Americans who are invisible to the credit system.

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Since its beta launch, more than 8,000 Credit Sesame customers have started using the credit builder technology. Once customers allocate a portion of their Sesame Cash funds to credit building, a trade line of credit of equal amount is reported to the three credit bureaus, which will establish credit for them and can have an immediate positive impact on a customer’s credit score. Early users increased their score by an average of 35 points, and some have increased their score by more than 120 points. The new Sesame Cash is particularly beneficial for those with a thin credit file who have previously struggled to build credit with traditional loans. In its beta stage, over 90% of Credit Sesame customers with a thin credit file (scores between 0 and 300) established an average score of 607 within 30 days of using credit builder banking. A credit building service like this can be life changing — opening new doors such as lower interest rates on auto loans, qualifying for a mortgage to buy a home, or renting in their neighborhood of choice.

“Coming from a family of immigrants, I understand how challenging access and education around credit can be for those who fall outside of the system,” said Shazia Virji, GM, Credit Services at Credit Sesame. “By creating the opportunity to build credit through debit, Credit Sesame is increasing financial inclusion for marginalized groups by setting them on a path to build credit and take hold of their financial futures, which can open new and better opportunities for individuals and their families.”

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Credit Sesame’s credit builder banking service is a direct response to consumer behavior and need in the market. A recent Credit Sesame survey found that 40% of credit invisibles would like to be able to use debit purchases to build credit. Those interested can create a free Sesame Cash account online, and the company will report the cash consumers have set aside for credit building, along with aggregated purchases, utilization, and on-time payments to major credit bureaus, establishing a baseline of credit and fast-tracking good behavior into building a better credit score. Active Sesame Cash users also get free daily credit score refreshes² so consumers can closely monitor their progress and cash rewards³ when their credit score increases.

Additional new features include:

• With Sesame Cash, users can allocate all or a portion of their funds to credit building, which is then reported to all three credit bureaus establishing a line of credit for the consumer and their credit report;
• AI-backed technology that monitors and manages the user’s transactions with their Sesame Cash debit card for optimal source of funds and credit utilization in order to maximize credit growth and savings;
• An all-in-one platform that provides education, tools and optional opt-in for auto payment of credit usage to help consumers develop good credit habits and the opportunity to build positive payment history.

“Your income and money matter for your credit and credit building, especially if you use debit for purchases, and we need a more inclusive and accessible credit system,” said Adrian Nazari, CEO of Credit Sesame. “Now with our credit builder technology, we do both. Credit Sesame makes it easy for consumers to add their money, including their income and everyday purchases to their credit report and history with a click of a few buttons and get the credit they deserve. We’re proud to lead the way in offering inclusion and better credit to consumers with no extra fees and no separate card — only better credit with debit. This changes everything.”