CreditHero, started by Nicole Sanchez and her team, offers services to enable better comprehension of an individual’s credit score. The service also aims to help individuals improve their score. Sanchez launched CreditHero during TechCrunch Disrupt NY 2017. Since the programming takes a much more conversational approach, the makers of this product strive to bring about a warmer experience. They hope to assist people who may receive disappointing credit scores by focusing on ways to make improvements to their score.
According to Sanchez, a majority of Americans suffer from subprime credit. There remains a massive opportunity for credit monitoring services. What CreditHero found was incredible: many people are simply afraid to check credit scores, and therefore place themselves in an extremely precarious financial position.
CreditHero has practical origins. At the end of a function Sanchez had once hosted, she gave the attendees a number and asked them to text her if they needed to. There was an overwhelming response to this request.
Personal chatbot charms
The CreditHero process begins with a conversation. The chatbot makes a swift diagnosis of the concerns of an individual. It aims to establish a friendly relation with the user. Users then sign on with the company and subsequently link their personal credit report to obtain a “credit prescription” of sorts.
Sanchez discovered that a substantial proportion of CreditHero users were looking to refinance or buy a home, but lacked the credit scores required to do so. The user could work over the subsequent months to build a better score. With the company’s guidance, users were able to increase scores by 50 points within the initial six weeks when implementing their recommendations. This in turn fostered certain levels of trust. CreditHero still has not monetized its services.
Challenges exist in this sphere. CreditHero may find itself fumbling to acquire marketshare due to steep competition. As an example, Credit Karma has already made a mark on the experience around credit scores. It is undeniable that multiple methods exist to make a similar product. Sanchez aims to obtain a trustworthy user base to enable it to grow, and hopes to be seen from beyond just a utility standpoint. According to Sanchez, the first stage is filling information gaps, and the next stage is execution of gaps. Reaching point B from point A is how CreditHero can come to the rescue.