ReadyForZero provides an online service that helps users eliminate credit card debt and manage their credit reputation. Since its beta launch four months ago the company says it has helped users erase about $42 million in debt. The product accelerates repayment — regular users are paying down debts two times faster than without the service. ReadyForZero has begun monetizing: it has booked some revenue and facilitated over $250k in loans through launch partner Lending Club. The company plans to use the new financing to build more automation, engagement, and optimization into the product and is hiring aggressively. ReadyForZero is a Y Combinator alum. ReadyForZero launched its debt-management platform to the public after a private beta last year. The product aggregates users' credit-card accounts via Yodlee, evaluates balances and minimum payments, and provides a 360-degree view of their financial situation in a Mint.com-like interface. It builds personalized plans that chart interest, minimum payments, and projected payoff dates, and computes optimal payment strategies based on minimums, salary, and balances. Qualified ReadyForZero members can obtain lower-interest, fixed-rate personal loans through a partnership with Lending Club. The company is Y Combinator-backed and recently raised $260,000 in new funding. The service targets consumers struggling to pay down debt rather than those already in collections or bankruptcy.

Total raised

$5M

Funding rounds

2

Latest round

Series A

Latest activity

Jun 2011