Credit Sesame Launches the First Smart Digital Banking Service That Helps Consumers Grow Their Cash and Credit
Credit Sesame seamlessly brings cash and credit together in a new way that helps consumers establish a direct path to financial wellness
Credit Sesame introduced Sesame Cash, a free digital bank account as part of a new smart digital banking service that will help consumers grow their cash and credit in one place for free as they spend and save. The account comes with a Sesame Cash debit card, for which Mastercard will now be the exclusive card network. Sesame Cash provides a unique solution geared toward reaching financial stability for the millions of Americans who face the daily dilemma of how to effectively manage and optimize their credit and cash.
The majority of Credit Sesame’s customers, along with more than half* of Americans, live paycheck to paycheck and rely solely on their available cash and credit to live and make daily spending decisions. Approximately 500,000 new members join Credit Sesame each month, and a recent member survey suggests that more than five million members want the new digital banking service offering that integrates their cash and credit.
“Through the use of advanced machine learning and AI, we’ve helped millions of consumers improve and manage their credit. However, we identified the disconnect between consumers’ cash and credit—how much cash you have, and how and when you use your cash has an impact on your credit health,” said Adrian Nazari, Credit Sesame Founder and CEO. “With Sesame Cash, we are now bridging that gap and unlocking a whole new set of benefits and capabilities in a new product category. This underscores our mission and commitment to innovation and financial inclusion, and the importance we place in working with partners who share the same ethos.”
“We are committed to putting the digital economy to work for everyone, everywhere,” said Sherri Haymond, executive vice president, Digital Partnerships at Mastercard. “We are pleased to team up with Credit Sesame to enable consumers to achieve financial stability, while also providing the technology and products that best meet their expectations and day-to-day lives.”
While challenger banks are transforming traditional bank accounts to be free and more accessible to customers, and other companies offer access to basic credit tools and financial products, Credit Sesame is bringing it all together. By marrying its deep understanding of how personal credit works with the latest in digital banking, Credit Sesame is creating a completely new personal finance service—one that will help consumers manage their entire wallet in one place and establish a better path to financial wellness.
The new digital banking service will analyze consumers’ finances and their repayment ability against their credit to provide them with personalized recommendations. For example, with this new insight into consumers’ cash flows, Credit Sesame can even further optimize suggestions for relevant credit products from the hundreds of financial institutions it works with and pre-qualify consumers for approval.
Read More: Fintech Select Provides Corporate Update
Credit Sesame’s digital bank account offers many rich features of a challenger bank, including: no-fee debit card with Mastercard Zero Liability protection, no overdraft fees, no minimum balance, no monthly service fees, free access to more than 55,000 ATMs, the option for early payday, real-time transaction notifications, the ability to freeze or unfreeze the debit card, and virtual card integration with most major mobile wallets.
It also offers unique, credit-centric features and benefits that include:
- Free, Daily Credit Score Refreshes: Customers will have access to daily score updates to help them stay on top of their credit.
- Credit Improvement Cash Rewards: A cash incentive program that will reward consumers with up to $100 per month as they improve their credit scores.
- $1 Million Credit & Identity Protection: A free credit and identity theft protection, which includes live access to identity restoration specialists.
Credit Sesame will also be rolling out several features and benefits in the coming months, including:
- A smart bill pay service that optimizes and manages consumers’ cash to improve their credit, lower interest payments on their credit balances, and pay down debt faster
- Auto-savings roundup of transactions to the nearest dollar to help consumers pay down their debt or save to reach financial goals
- Additional rewards programs for everyday purchases
- Smart budgeting tools and more
Credit Sesame has been operationally profitable since 2016. The company’s success has been driven by the value consumers derive from its platform: 61 percent of members see their credit score improve within the first six months—50 percent see their credit score improve by more than 10 points in their first six months, and 20 percent see their credit score improve more than 50 points in their first six months.
To open Sesame Cash digital bank accounts, Credit Sesame will be partnering with Community Federal Savings Bank, Member FDIC.