Yendo, a Dallas-based financial technology company, has successfully concluded its Series A funding round, raising a total of $24 million. The round was led by FPV Ventures, with participation from existing investors Human Capital and Autotech Ventures. This significant funding milestone will serve as a catalyst for Yendo’s next phase of growth, enabling the company to make strategic hires, enhance the product experience, and expand its reach to additional states. As part of the agreement, Wesley Chan, the lead investor from FPV Ventures, will join Yendo’s board of directors.
Yendo has garnered attention for its groundbreaking offering: a vehicle-secured credit card, which the company claims to be the first of its kind. By leveraging the value of their cars, consumers can access up to $10,000 in revolving credit, regardless of their credit score, at a fixed and affordable interest rate. This innovative approach aims to bridge the gap in the financial system that has left millions of Americans with limited access to credit due to their credit scores.
Jordan Miller, the CEO and Co-founder of Yendo, highlights the systemic issue within the current financial system, emphasizing that it fails to serve a significant portion of the population. This lack of inclusivity forces many individuals to resort to expensive non-bank financial products, leading to substantial financial burdens. By providing an alternative credit option, Yendo seeks to transform the way Americans engage with financial services and expand access to affordable credit for all consumers, irrespective of their credit scores.
The recent funding round has sparked optimism regarding Yendo’s future growth trajectory. Miller believes that the capital infusion will enable the company to attract key talent, enhance the product offering, and extend its services to more states across the country. This strategic expansion will help Yendo reach a wider audience and positively impact the lives of individuals who have previously been excluded from traditional credit systems.
Yendo employs a comprehensive approach to determine credit limits for its customers. Factors such as income, expenses, and the appraised value of the customer’s vehicle are taken into account when determining the credit limit. By considering various aspects of an individual’s financial situation, Yendo aims to provide equal opportunities to those who have been historically marginalized by the conventional credit system. This inclusive approach helps customers establish and build credit, empowering them to improve their financial standing.
Building credit is a primary goal for many of Yendo’s customers, with 90% of them citing it as a crucial reason for applying for the company’s credit card. Recognizing this demand, Yendo emphasizes the importance of providing accessible credit options to consumers who have historically faced limited choices. By empowering individuals to build credit and access affordable financial solutions, Yendo seeks to level the playing field and create a more equitable financial landscape.
Wesley Chan, co-founder and managing partner of FPV Ventures, expresses enthusiasm for the partnership with Yendo. He commends Jordan Miller’s innovative product development and recognizes the significant impact it can have on providing affordable credit options to consumers who have historically been underserved. Chan believes that Yendo’s mission and the dedication of its team contribute to a fairer financial environment and is delighted to support their vision.
Since its launch in 2022, Yendo has experienced impressive growth, with its customer base expanding by 15% on a week-over-week basis. The company estimates that it saves its customers over $85,000 in interest every day, highlighting the tangible financial benefits that its innovative credit card offers. Yendo’s success can be attributed to the visionary leadership of its founders: Jordan Miller, George Utkov, and Daniel Ashy.
In conclusion, Yendo’s recent $24 million funding round led by FPV Ventures marks a significant milestone for the company. With this infusion of capital, Yendo is poised for continued growth and expansion, empowering individuals by