swizzlewizzle

From their website: “ * Credit limit of $10,000 can be achieved over time and by maintaining an average daily balance in excess of $40,000”

So basically, the people using the card don’t actually need the credit, they just need access. It’s almost impossible for tomo to be screwed by their users due to the requirement to have more money deposited then can be pulled out.

Keeping this in mind, they are able to make small profit via interchange fees.

I think they will eventually find out, however, that the market for minorities/immigrants that have this much cash available, and also need credit badly, is a very very small market

Feels scummy until you release a full transparency document on exactly what data sets you are using to manage your risk.

It’s useless, basically. Tomo seems to exist to help people that already have cash in hand to build credit rapidly…. Though they can do that with any bank in a similar way so… shrug

Basic cashflow and "means" analysis is something that almost all lenders are doing already. If this is the core of their product, they have no hope of making a meaningful entry into the market.

They won’t. :)