No-fee online banking service Ellipses builds personalized objectives to help users get to the best possible financial situation.
A number of online banking startups have sprung up designed to support consumers manage their spending. We recently wrote about this banking platform that has an IoT component: a bracelet that punishes consumers for overspending by giving them a gentle electric shock. Now, Ellipses is an online banking service that helps individuals manage their spending and allows them to get a loan without the need for a credit score, depending on how well they stick to a personalised budget created by the platform.
Ellipses uses its own custom scoring system that works over time to calculate a user’s credit rating based on how well they manage their budgets and objectives. This makes it possible for the company to approve users for loans without them having to rely on a credit score which can sometimes over exaggerate small mistakes or past issues that have been rectified. The service provides a great way for those with bad or no credit rating to get loans approved. The platform has some additional useful features. It can subtract bills, goals, outstanding checks, and pending transactions from a customer’s available balance to show exactly what they can actually spend at any given moment. Users can also choose to actively deny transactions that would put them over budget, cancelling transactions in the online shopping category for example, while everything else is approved as usual.
Which other financial service products will we see revolutionised in this way?