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Yendo Secures $165 Million to Expand Vehicle-Backed Credit Services

Yendo, a pioneering US-based fintech company, has announced the successful completion of a $165 million funding round. This substantial investment, comprising $150 million in debt financing and $15 million in equity, marks a significant milestone in the company’s mission to enhance its vehicle-backed credit services. The new capital injection aims to further expand Yendo’s innovative financial solutions, offering more affordable credit options to underserved consumers across the United States.

Company Background

Founded in 2021 by Daniel Ashy, George Utkov, and Jordan Miller, Yendo is headquartered in Austin, Texas. The company was established with a vision to democratize access to credit by leveraging the value of vehicles owned by consumers. Yendo initially gained recognition as Otto Credit before rebranding to its current name. The founders, leveraging their extensive backgrounds in finance and technology, set out to create a platform that could provide more inclusive financial services.

Yendo’s Business Model and Services

Yendo specializes in vehicle-backed credit solutions, providing an innovative approach to personal finance. The company’s flagship product is a vehicle-secured credit card, which allows users to access credit by using their car as collateral. This product is designed to offer up to $10,000 in revolving credit, with interest rates comparable to those of super-prime credit cards, making it an attractive option for consumers with limited or no access to traditional credit.

In addition to the vehicle-secured credit card, Yendo has recently launched an auto refinancing credit card. This new service enables users to leverage their vehicle’s equity to refinance existing loans, thereby reducing their interest rates and monthly payments. By focusing on vehicle-backed credit, Yendo aims to provide a more affordable and accessible credit solution to a broader audience, particularly those who are underserved by traditional financial institutions.

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US-Based Yendo Gains $165 Million to Enhance Credit Solutions. This representational image shows a miniature car standing on a pile of coins.

Market and Customer Base

Yendo primarily targets underserved consumers who have limited access to traditional credit. This includes individuals with subprime credit scores or those who lack sufficient credit history to qualify for conventional credit cards and loans. By using vehicles as collateral, Yendo is able to offer lower interest rates and higher credit limits compared to unsecured credit products. This approach not only helps consumers build credit but also provides them with the financial flexibility they need for various expenses.

Yendo’s Funding Details

The recent $165 million funding round comprises $150 million in debt financing and $15 million in equity. Key investors in this round include prominent venture capital firms like i80 Group and financial institutions that see potential in Yendo’s innovative approach to credit services. This funding will be instrumental in scaling Yendo’s operations and expanding its customer base. Additionally, the capital will support the development of new products and enhancements to existing services.

Strategic Goals and Expansion Plans

Yendo plans to use the newly raised capital to fuel its growth by extending its services to more customers across the United States. The company aims to enhance its technological infrastructure, improve customer service, and develop new features that cater to the evolving needs of its users. Yendo is also exploring opportunities for geographic expansion, potentially entering new markets where access to affordable credit remains a significant challenge. This strategic expansion is expected to solidify Yendo’s position as a leading provider of vehicle-backed credit solutions.

Competitive Landscape

Yendo operates in a competitive market with several other fintech companies offering asset-secured credit products. Competitors include traditional lenders who provide secured car loans and other fintech startups focused on asset-backed credit cards. What sets Yendo apart is its focus on using vehicles as collateral, offering higher credit limits and lower interest rates compared to traditional secured credit cards. This niche positioning allows Yendo to cater specifically to consumers who may not have significant liquid assets but possess valuable vehicles.

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Industry Context

The vehicle-backed credit market is part of a broader trend in fintech towards more inclusive financial products. The market for auto loans and asset-backed securities has been growing, with significant issuance and improved performance in recent years. The trend towards asset-secured cards is driven by the need for more accessible credit options for consumers with limited or poor credit histories. This trend aligns with Yendo’s mission to democratize access to credit through innovative financial solutions.


Yendo’s successful $165 million funding round is a testament to the company’s potential to revolutionize the vehicle-backed credit market. With this new capital, Yendo is well-positioned to expand its services, reach more underserved consumers, and continue innovating in the fintech space. The company’s unique approach to using vehicles as collateral provides a valuable alternative to traditional credit products, making credit more accessible and affordable for a broader audience.

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