Now On Your iPhone, Rea...
YC alum ReadyForZero , an online financial service that’s trying to get people out of debt faster, is today expanding to mobile with the launch of its first mobile app. For now, the experience is designed mainly to give you at-a-glance insight into your current debt situation. However, the mobile app also uses iOS push notifications to alert you to large purchases and payments which could impact your financial goals. Says ReadyForZero CEO and co-founder Rod Ebrahimi, this feature is designed to “keep you honest,” similar to the free ReadyForZero credit card stickers , which shame you into putting your card back into your wallet. As with the stickers, ReadyForZero’s push notifications are like nagging reminders when you’re not staying on course. But while the stickers are like a simpler solution than having to put your credit card in ice (yep, this is a thing), the app’s push notifications aren’t just about keeping you from being naughty – they also alert you when you complete financial goals, make payments, or the interest rate changes. For those unfamiliar with the service, ReadyForZero automatically imports data from your bank accounts, credit card accounts and loans, then uses this information to actively make recommendations as to when you’re able to make extra payments in order to save on interest. It can also alert you to the repercussions that recent big-ticket purchases will have on your plans to pay down your debt within a given timeframe, and can suggest ways you can get back on track. The mobile app, like the desktop-size website, lets you track your progress, payments and view all your accounts (loans, credit cards, etc.). Ebrahimi says that he knew now was the right time to go mobile because of the huge problem with student loan debt in particular. “Earlier this year, total outstanding student loan debt surpassed $1 trillion, overtaking total outstanding credit card debt,” he says. And on July 1st, the federal student loan rate is scheduled to double from 3.4% to 6.8%, he adds, depending on the results of this vote. In other words, it’s a good time to expand the ReadyForZero service to other platforms – especially one favored by students (their phones). The iOS app is going live now in iTunes. And yes, Android version is in the works.
Like Mint For People In...
Y Combinator alum ReadyForZero is rolling out an upgrade to its debt management service today, with new features that will now allow its users to centralize and manage more of their debt using its online application. Previously, the company was focused only on reducing consumers’ credit card debt. Now it’s adding support for mortgages, auto loans and student loans, too. At first glance, ReadyForZero may be mistaken for a competitor to the online money management service Mint . But where Mint helps you gain insight into your spending behaviors, ReadyForZero is more narrowly focused on helping your actively pay down your debt. Like Mint, it automatically imports data from your bank accounts, credit card accounts and now loans, but it uses this information to actively make recommendations as to when you’re able to make extra payments in order to save on interest. It can also alert you to the repercussions that recent big-ticket purchases will have on your plans to pay down your debt within a given timeframe, and can suggest ways you can get back on track. More importantly, however, is that the system works. As MG reported this summer , regular users of ReadyForZero’s service are getting out of debt twice as fast as irregular users. In addition to the added support for loan management noted above, the ReadyForZero user interface has been tweaked to include some new features, like a “speed” gadget that shows you how much faster you’re paying off debt by making extra payments. The tool aims to help you better visualize the adjustments you’re making to your payment plans. The site also now includes new suggested actions that give you tasks to complete, like setting up payment reminders to sync with your calendar or linking your accounts, among other things. The “share your progress” feature has been expanded, too, so you can provide an anonymized URL that provides a snapshot of your progress on debt reduction to lenders and banks in need of proof of your efforts. According to Co-founder Rod Ebrahimi, the startup is already fielding inquires from two of the top five banks for consumer debt. The banks want to know how they can take advantage of the service’s offerings to help their customers restructure their debt so as to reduce the banks’ risk. At any given time, Ebrahimi explains, 10% of of these banks’ debt is at risk. Or, in other words, tens of billions of dollars. ReadyForZero is now working with some of these banking institutions now to test how the service can provide its users with access to banks’ own products and programs that could help them further reduce their debt. Also on the roadmap are plans for automating payments and a set of mobile applications. In June, ReadyForZero raised $4.5 million in Series A funding led by Polaris Venture Partners with participation from Citi Ventures. This followed an earlier $260,000 seed round featuring prominent angels like Steve Chen , Dave McClure , Benjamin Ling , Nils Johnson , and Maneesh Arora . Crunchbase READYFORZERO Company: ReadyForZero Website: readyforzero.com Funding: $4.78M ReadyForZero is online financial software that lets you track your credit card debt, and make and follow a plan to eliminate it. It’s not a “debt negotiation” or “debt settlement” service. It’s a tool that helps you get control of and eliminate your debt. Learn more
Accel EIR Steps In As C...
Braintree , an Accel-backed online payments provider, is announcing a new CEO today—payments exec Bill Ready. In July, Ready joined Accel as an Executive in Residence to bring his payments expertise to the firm’s portfolio companies and investment strategy. Braintree, which just raised $34 million from Accel Partners, essentially powers and automates online payments for merchants and companies online. The company provides a merchant account, payment gateway, recurring billing, credit card storage, support for mobile and international payments, and PCI Compliance solutions. BrainTree has become a one-stop-shop for all the services a business needs to receive payments from anywhere in the world. The company’s clients include Airbnb, LivingSocial, OpenTable, Animoto, Lookout, Shopify, Brightcove, Hotel Tonight, GoMobo, 37Signals, and GitHub. Ready joined Accel from electronic bill pay provider iPay Technologies, where he served as President, and helped manage the company’s sale to Jack Henry for $300 million last year. Previously, Ready served as iPay’s Chief Financial Officer and worked as a consultant at McKinsey & Co. where he focused specifically on advising companies in the payments and financial technology sector Braintree founder Bryan Johnson will remain chairman of the company. Braintree is growing like a weed, and Ready’s expertise should help the company continue that pattern. Over the past year, the company has grown 4,200 percent, is processing more than $8 million in online credit card payments daily , and is on track to process more than $3 billion in 2011.Q&A: Bill Young, m...
Bill Young, managing director of EA Ready, says mobile and social gaming platforms offer more opportunities for advertisers than consoles.
ReadyForZero Launches D...
Y Combinator -backed startup ReadyForZero , a startup that helps Americans cleanse themselves of credit card debt, is taking its debt management platform public today. Launched in private beta last year, ReadyForZero is trying to help those consumers who are having trouble paying their debt off, as opposed to those who are already in collections or bankruptcy. Essentially the site uses a Mint.com model to help people not carry any balances month to month. Consumers sign onto ReadyForZero with their credit card accounts and passwords (leveraging Yodlee), and similar to Mint.com, the startup will evaluate all of the balances and minimum balances and give users a 360-degree view of their financial situation. ReadyForZero will build a personalized plan for consumers, charting out how much interest is being charges on each credit card account, minimum payments and when each card’s balance will eventually be paid off. Based on your minimum payments, salary and balance, ReadyForZero will figures out an optimal strategy for what to pay and when. And qualified ReadyForZero members can obtain lower-interest, fixed-rate personal loans through the startup’s partnership with peer lending site Lending Club. The startup, which just raised $260,000 in new funding, seems like it could be complimentary to personal finance management Mint.com. CrunchBase Information ReadyForZero Information provided by CrunchBaseOur Sponsors
