OAKLAND, Calif.--(BUSINESS WIRE)--Spinwheel, the leading intelligent embedded debt platform, today launched Spinwheel CRED, holistic solutions combining Credit + Personal Loans, Real-time debt payoff, Embedded financing, and Data insights. This new personal loan and credit card bundled suite is designed to put borrowers back in the driver’s seat when it comes to debt management. In recognition of challenging economic times for many and a potential looming recession, the new offering makes it easier to pay off debt across categories.
This follows on the heels of the launch of Spinwheel CARES, the company’s newest student debt API solution created to help financial services and apps prepare customers for the end of the student loan payment pause. With real-time debt payoff, embedded financing, and data insights, Spinwheel offers the only comprehensive debt management platform that improves outcomes for companies and borrowers.
“The personal debt crisis is only going to grow as many people have already tapped their savings and are now facing higher interest rates for personal loans and cards. Our goal is to simplify debt management to reduce personal debt and prevent a more serious financial crisis,” said Spinwheel CEO and co-founder Tomás Campos. “Spinwheel continues to innovate and make it easy for companies to embed debt management solutions and provide an in-demand service for their customers.”
Credit card debt exceeded $887 billion for Americans in the second quarter of 2022 while personal loan debt has skyrocketed to a new record of nearly $178 billion in unsecured personal loan balances.
The new bundled suite from Spinwheel attacks credit card and personal loan debt by:
- Getting the best rates: Inflation has been a double whammy for debt accumulation because rising prices cause consumers to put more expenses onto their credit card while the Fed is fighting inflation through increased interest rates. The average rate today for new credit card offers is 21.4%. Spinwheel pulls consumers out of this downward debt spiral by finding rates that are lower by 12% or more.
- Making payments on time: The number of credit card users who are at least 30 days late with their credit card payment has increased for three straight quarters. Carrying a balance beyond its due date makes it increasingly hard to manage debt as interest charges get more expensive. By simplifying direct payments of credit card balances Spinwheel provides the necessary tools to eliminate debt delinquency and get consumers back on track.
- Enabling precision payments: Borrowers average four different credit cards per person with different balances and APRs. Spinwheel ensures that debt is paid off optimally to minimize interest owed as well as providing improved visibility into account data with increased financial literacy and confidence for customers.
- Optimize Credit Utilization: Spinwheel improves credit scores by helping consumers manage credit cards and revolving debt optimization. Refinancing credit card debt and paying it down helps keep credit card utilization below 30%. If a borrower has a lot of credit card debt their credit score can be negatively impacted if utilization goes higher than that. Spinwheel also helps borrowers avoid cards going dormant.
ABOUT SPINWHEEL
Spinwheel makes it easy for Americans to make smarter debt decisions and take action through a combination of data, intelligence, management and payments. Their debt API and no code drop-in modules enable fintechs, banks, personal financial management tools, employee benefit providers, and loyalty platforms to quickly create a seamless experience for their customers within their existing applications. Spinwheel is headquartered in Oakland, California, and co-founded by Tomas Campos and Tushar Vaish in 2019. For more information, find us at Spinwheel, LinkedIn, or on our Developer Portal.
